숏

Gold Breaks Down Further

Gold has broken through 1876 and smashed through several levels below, finally finding support at 1851. The selloff resumed after a brief pivot of 1876 took us back to test 1917, where resistance proved prohibitive. The selloff then continued and the Kovach OBV is registering extreme bearish conditions. Though we are seeing support at 1851 confirmed by two green triangles on the KRI, we are not seeing any sort of buy back just yet, which suggests we may press even lower. If so, there is a vacuum zone below to 1836. The Kovach OBV is very oversold at this point so watch for a relief rally which could take us back to 1876, if not higher.