With "risk on" trades on, that is not good for gold.

Technical Analysis

Author: Greg Michalowski | gold

Precious metal is down over 1% now

Stocks are soaring. Yields are up as well. The risk on trades are on which means gold is heading lower.

Precious metal is down over 1% now

Indeed,the price of the precious metal is currently down $-18.50 or -1.20% at $1520.14

Technically, the pair on the hourly chart above, has moved below its 100 hour MA at $1536.21 and is not down testing a lower trend line and the 200 hour MA (at $1518.33). The low for the day just reached $1519.86.  

Decision time for the bulls and bears as it tests a key barometer.   Move below increases the bearish bias and will have traders looking toward $1496 to $1500 area (38.2% retracement). Holding the level will have traders wanting to see a move back above $1525.11 (low from Monday), with the broken 100 hour MA another target on the topside. 

By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose