Start of the next Gold Rally ?

2018년 10월 27일

After the brakeouts of the last few days many are already talking about the next Gold rally. Lets take a look at the market.

Fundamental / Psychological Analysis

The FED's rise in interest rates which caused uncertainty was quickly forgotten last week after the gold price peaked at 1243. The growing uncertainty and weakening industry is increasingly allowing more risk investors to invest in the "safe haven" gold. The short positions compared to the long positions are getting smaller, according to the COT report from Friday. Should the sell-offs on the stock exchanges and other asset classes continue, the gold price should rise in line with the last two weeks.

Technical Analysis

Last week we saw a nice price jump over the 100 day line, which is a strong bullish indicator. Currently gold is in an upward channel and at the 38.8 fibonacci resistance line. If we do not see a correction from here I expect an increase up to the 0.5 Fibonacci line ($ 1259) which is a first sell target for long positions from 1200 $.

RSI and MACD are bullish and still have room to grow up.