This pattern looks like a shallow retracement and temporary consolidation so far. I don't really expect lot more selling, rather next leg up to test 1250+ or even 1280.
Why? Because:
- Ichimnoku averages all point up. Price is not really far above Kijun.
- EWO is bullish
- Heikin-Ashi candles in last days all had long lower wicks, but smaller bodies, which means there are quite a lot intraday buying / short covering interest in the market. Sellers do not really rule the market, buyers are smart to bid lower and get what they need.
haDelta+ and haOscillator are down to their central lines. A cross up here would be quite a bullish indication.
- MACD is still above its signal line
- Support zone is 1210-1220
- Note Chikou Span which is enterring the past Kumo. The past Kumo top around 1150+ marks next resistance. If price trades above that in coming days/weeks, Chikou would also rise above past Kumo. In that case 1290-1300 channel top would likely be touched.
Strategy: Hold longs. Trailing stops should still be kept around 1197.
Another question: What is Gold pricing? I mean despite serious risk on mood in equities and USD strength seen in last few days, Gold managed to hold its gains. Maybe it indicates something for other asset classes or for global macro, maybe it only and simply shows how stronger Gold bulls are becoming.
Why? Because:
- Ichimnoku averages all point up. Price is not really far above Kijun.
- EWO is bullish
- Heikin-Ashi candles in last days all had long lower wicks, but smaller bodies, which means there are quite a lot intraday buying / short covering interest in the market. Sellers do not really rule the market, buyers are smart to bid lower and get what they need.
haDelta+ and haOscillator are down to their central lines. A cross up here would be quite a bullish indication.
- MACD is still above its signal line
- Support zone is 1210-1220
- Note Chikou Span which is enterring the past Kumo. The past Kumo top around 1150+ marks next resistance. If price trades above that in coming days/weeks, Chikou would also rise above past Kumo. In that case 1290-1300 channel top would likely be touched.
Strategy: Hold longs. Trailing stops should still be kept around 1197.
Another question: What is Gold pricing? I mean despite serious risk on mood in equities and USD strength seen in last few days, Gold managed to hold its gains. Maybe it indicates something for other asset classes or for global macro, maybe it only and simply shows how stronger Gold bulls are becoming.
