After steadily rising in the face of a weak dollar on Friday, gold broke through 1300 overnight, triggering a raft of buy stops that sent the market quickly up to strong resistance at 1322. Gold has since backed off from this resistance area and is currently trading around 1315.
We do not expect to see gold rise much further beofre the down trend re-establishes itself, with resistance at 1322, the 50 DMA at 1334, 1338-1342 and 1350.
Oil continues its meteoric rise and is now trading above $108 a barrel, closing in on our next targets of $110 and $114. Equities remain at all time highs, however the dollar has slipped recently, contributing to gold's rally.
We anticipate that once the dollar begins to rally again, gold will sell of hard, as has been the pattern for the past few months.
Today's video for subscribers looks at the key resistance areas above the market in more detail.
We do not expect to see gold rise much further beofre the down trend re-establishes itself, with resistance at 1322, the 50 DMA at 1334, 1338-1342 and 1350.
Oil continues its meteoric rise and is now trading above $108 a barrel, closing in on our next targets of $110 and $114. Equities remain at all time highs, however the dollar has slipped recently, contributing to gold's rally.
We anticipate that once the dollar begins to rally again, gold will sell of hard, as has been the pattern for the past few months.
Today's video for subscribers looks at the key resistance areas above the market in more detail.