GOLD: The Fall to $1266.0 Is Looming
Following last week's long-term, maybe a little "out-there" outlook for the future of Gold, I have come back down to planet earth this week for a more short-medium term prediction for the precious metal!
With Gold's recent huge Bullish run it appears we may be looking for a relatively significant correction to the downside in the short-term. The 4-hour time-frame is showing numerous bearish confluences. Price did manage to break through the 1290.00 level of resistance to reach a peak at around 1298.50. However, this was short lived and it is now trading back below the 1290.00 key level. This alongside a large hanging man candle and failure to print a new higher high is all signs we could be in for a downside move.
As for how far Gold may tumble, as shown on the chart is my first target around 1266.00, price action should be studied carefully at this level to determine further downside or a reversal and continuation of the overall Bullish Trend.
Written by Sam Moore