Gold has continued where it left off on New Years Eve, moving higher overnight and currently trading around 1683. The market has cleared the 200 DMA and has found a bit of resistance at the 20 DMA around 1684.
If gold can clear this and the third down trend line at around 1688, the stage is set for higher prices in the short term. However, after a strong run up off the December lows, we would not be surprised to see a pull back from this area and a "higher low" formed above the December lows before the uptrend resumes.
With the daily RSI at 52, there is plenty room to move higher before the market gets anywhere near overbought on the daily chart.
For our subscribers at www.goldtradingexperts.com, today's video looks at our strategy for our current trade and the action of the last few trading sessions in more detail.
If gold can clear this and the third down trend line at around 1688, the stage is set for higher prices in the short term. However, after a strong run up off the December lows, we would not be surprised to see a pull back from this area and a "higher low" formed above the December lows before the uptrend resumes.
With the daily RSI at 52, there is plenty room to move higher before the market gets anywhere near overbought on the daily chart.
For our subscribers at www.goldtradingexperts.com, today's video looks at our strategy for our current trade and the action of the last few trading sessions in more detail.