$GOLD-Technical View-(Up-Move May Continue In Coming Months)--1-2-2015

     

GOLD IN $ TERMS

Gold closed at $1279.20 on 30-1-2015

SUPPORT:- 1252 / 1238.90 / 1224 / 1186.40 / 1184 /  1183.30 / 1181.40 / 1179.40 /1167 /  1160 /  1141.70 / 1130.40.

RESISTANCE:- 1297.60 / 1307.80 / 1324.30 / 1325.90 / 1331.40 / 1346.80 / 1356.40 / 1361.80 /  1392.60.

The short and medium term trend is up and Gold is looking reasonably good on the chart although it is giving whip saw movement around the short term moving averages but the shape of averages is improving day by day in positive direction, furthermore it is above its long term moving averages and the range for it is between $1263---1226(it changes every day) and other technical parameters are also improving. I would therefore suggest to adopt buy on dip strategy but get alerted in long trade and avoid fresh long call below $1263 till it bounces back above it again. The authentic stop loss for long trade would be below $1226 for now (it will change every day with price movement). Going up it will face tough resistance at $1307.80 / 1346.40 & 1361.80, however chance of gold hitting $1340—60 level in coming months looks distinctly possible as of now.

Kindly note that profit should also be booked in trade from time to time at the appropriate points so that you can take advantage of the market swings.

REMARKS:-Long term trend is still down but short and medium term trend is up and technical chart is looking steady  therefore , I would advice to go long on dips with suggested stop loss mentioned above.

Disclaimer:-The view expressed here are solely of the author and he is not at all responsible in any way for the outcome of the trade you enter based on the above view.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.