Header Ads

Header ADS

Gold Trend 14/02

Gold surged to a near 3-months peak last Friday. The price was basically traded between 1822-35(1) early in the Asian/European sessions. Until after the mid-US session, gold has broken out from the key 1835 resistance(2) and has gone all the way to 1865. The day ended near 1858, up by USD 32.

The trading in the Asian/European sessions was in line with our expectations last Friday, however, the jump before the day's end was unexpected, and it was mainly caused by the speech of the US president about Ukraine's tension and the lack of market participants in the late Friday trading. Unless the war breaks out in Ukraine later on today, the risk premium for the weekend should ease off back from 2 days of market closure. Expect consolidation in S-T with the range set in between 1843-65(3).

Gold has broken out from the resistance line(6) on the daily chart and touched the previous peak at 1865. If there is no further news breakout today, technically, the price should stay between 1850-68(5) in S-T. In M-T/L-T, expect the price to form a triangle pattern(7) for now, unless the price can clear all the resistance near 1868.

S-T Resistances:
1868
1860
1857

Market price: 1852

S-T Supports:
1850
1843
1835


Risk Disclosure: Gold Bullion/Silver ("Bullion") trading carries a high degree of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. This article is for reference only and is not a solicitation or advice to trade any currencies and investment products . Before deciding to trade Bullion you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment or even more in extreme circumstances (such as Gapping underlying markets) and therefore, you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading Bullion, and seek advice from an independent financial advisor if you require. Client should not make investment decision solely based on the point of view and information on this article. 


Powered by Blogger.