Gold....The only timeproof currency of the world has not been stable since long. Currently its value is around 1427.90 $ per troy ounce.
Looking at the current technical statistics, the movement seems to be following the trend of a zigzag motion as the RSI is at 63.25 which doesnt indicate that it is overbought right now and there is certainly a potential for gold to cross a resistance of 1437.35.
Taking another point of view if we consider the Bollinger Band's indication (1429-1412) then it is certainly showing that there is reversal in waiting and soon (within 8-10 trading sessions) we are going to see a downfall of about 12-15 $.
Apart from the above the major indicator of MACD is indicating a reading of 1.90 stating that there is a drop in the movement in progress but as it is a lagging indicator that fall is NOT going to come unless we see a rise atleast upto the level of 1437.35. A strong resistance is offered by the trendline overthere.
The advance indicator of stochastic slow is at (PKS 38.10) supporting the view that after a short term surge, we are going to see the correction in the market. As in any case the $ is one of the weakest currencies of the world but as we are NOT expecting any sale of gold in near future by the central banks, there is a major probability that after touching the levels of 1437.35, it would start correcting itself but there are support levels maintained at the circuits of 1425.10, 1421.96 and a very very stron support at 1419.54 the level of 1412would be achieved only if these supports are breached.
For a cautious investor, it is the time to wait and watch and to check out if gold breaches the resistance of 1435.35, in that case the strategies may get changed but as of now there should be selling in future contracts around the level of 1435.35 and then booking of profits may be seen around the support level.
The jobless claims data has became ineffective on gold prices but certainly the crude prices still impact the trading in this commodity and hence the data on crude stocks would also be a key factor which is supposed to be out in mid of the next week.
Jobbers have a nice chance overhere in such a fluctuating market.
Looking at the current technical statistics, the movement seems to be following the trend of a zigzag motion as the RSI is at 63.25 which doesnt indicate that it is overbought right now and there is certainly a potential for gold to cross a resistance of 1437.35.
Taking another point of view if we consider the Bollinger Band's indication (1429-1412) then it is certainly showing that there is reversal in waiting and soon (within 8-10 trading sessions) we are going to see a downfall of about 12-15 $.
Apart from the above the major indicator of MACD is indicating a reading of 1.90 stating that there is a drop in the movement in progress but as it is a lagging indicator that fall is NOT going to come unless we see a rise atleast upto the level of 1437.35. A strong resistance is offered by the trendline overthere.
The advance indicator of stochastic slow is at (PKS 38.10) supporting the view that after a short term surge, we are going to see the correction in the market. As in any case the $ is one of the weakest currencies of the world but as we are NOT expecting any sale of gold in near future by the central banks, there is a major probability that after touching the levels of 1437.35, it would start correcting itself but there are support levels maintained at the circuits of 1425.10, 1421.96 and a very very stron support at 1419.54 the level of 1412would be achieved only if these supports are breached.
For a cautious investor, it is the time to wait and watch and to check out if gold breaches the resistance of 1435.35, in that case the strategies may get changed but as of now there should be selling in future contracts around the level of 1435.35 and then booking of profits may be seen around the support level.
The jobless claims data has became ineffective on gold prices but certainly the crude prices still impact the trading in this commodity and hence the data on crude stocks would also be a key factor which is supposed to be out in mid of the next week.
Jobbers have a nice chance overhere in such a fluctuating market.
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