MG Network

something big isHappening!

In the mean time you can connect with us with via:

Copyright © Money Grows Network | Theme By Gooyaabi Templates

Money Grows Network

Archive

Powered by Blogger.

Welcome To Money Grows Network

Verified By

2006 - 2019 © www.moneygrows.net

Investments in financial products are subject to market risk. Some financial products, such as currency exchange, are highly speculative and any investment should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only.

Popular

Pages

Expert In

Name*


Message*

Strong bounce in Gold prices.

Gold price made a low at $1,721 but is now trading at $1,756. Has trend in Gold reversed to bullish or is this just another opportunity to sell Gold? We use the Ichimoku cloud indicator and simple technical analysis to reach a conclusion.

analytics6155e38f7798a.jpg

Green lines - Fibonacci retracement

Black lines- bearish channel

Gold price is trading still inside the bearish channel. Price made a strong upward reversal today but price has not exited the channel yet. The high that produced the $1,721 low is at $1,786. As long as price is below that level, short-term trend will remain bearish.

analytics6155e3e4a4ef7.jpg

Again in the 4 hour chart we observe Gold price testing the Kumo (cloud) from below. Price is still below the cloud confirming that trend remains bearish. The $1,760-72 area is important resistance area according to the Ichimoku indicator. Price is trading above the tenkan-sen (red line indicator) and the kijun-sen (yellow line indicator). This is a sign of strength but not a reversal confirmation. Breaking above the cloud will be such a confirmation.

Concluding we see that price is testing key resistance area. This is not the place to be optimistic. A rejection here could bring sellers back and resume the downtrend to new lows below $1,700. Traders need to be cautious. A pull back should not break below $1,742 as this would confirm that bears remain in control of the trend.

The material has been provided by InstaForex Company - www.instaforex.com