Bottom line:  Gold medium term bullish outlook remains intact but short term drop towards $1400/15 levels possible.

Technical Analysis:

Gold bullish structure could be delayed if prices remain below the $1500 mark and in turn produces a complex corrective structure dragging prices lower towards $1400/15 levels. Looking into the medium term wave structure, Gold is seen to be progressing Wave (Y) within the (W)-(X)-(Y) corrective rally since $1046.00. Within Wave (Y), an impulse Wave A is already in place at $1557 (began since $1266 lows); since then a complex corrective Wave B seems to be unfolding. As mentioned in our previous discussions, corrective waves can take several forms and combinations, testing out a traders’ patience, unlike the impulse waves which are simple to identify. In this case, Gold might be producing a double zigzag and could print one more low below $1445 levels, to complete the structure. Since the previous wave 4 was around $1400 mark, we can expect Wave B to terminate close to $1400/15 levels, before Wave C rally could resume higher. A break below $1451, would confirm the above and accelerate the projected drop. The entire corrective drop could be seen as a W-X-Y (not labelled here), with Wave X unfolding as a triangle. A push above $1500 levels is required to confirm that a meaningful bottom is in place at $1445. An aggressive trading strategy could be to remain short against $1520 with a projected target around $1400/15; while a more conservative and towards the trend strategy could be to buy on dips through $1400/15, against $1380, with projected targets above $1580, going forward. It is suggested to remain flat and look to buy on dips rather than trade against the trend. Watch out for a sharp potential drop towards $1400/15 first, then bullish again.

Prepared by

Harsh Japee, Technical Analyst

Gold Chart

Disclaimer: This article is reproduced from the Internet. If there is any infringement, please contact us to delete it immediately. In addition: This article only represents the personal opinion of the author and has nothing to do with Mato Finance The originality and the text and content stated in this article have not been confirmed by this site. The authenticity, completeness and timeliness of this article and all or part of the content and text are not guaranteed or promised. Please refer to it for reference only Verify the content yourself.

Copyright belongs to the author.
For commercial reprints, please contact the author for authorization. For non-commercial reprints, please indicate the source.

MyFxtops迈投(www.myfxtops.com)-靠谱的外汇跟单社区，免费跟随高手做交易！

免责声明：本文系转载自网络，如有侵犯，请联系我们立即删除，另：本文仅代表作者个人观点，与迈投财经无关。其原创性以及文中陈述文字和内容未经本站证实，对本文以及其中全部或者部分内容、文字的真实性、完整性、及时性本站不作任何保证或承诺，请读者仅作参考，并请自行核实相关内容。

著作权归作者所有。
商业转载请联系作者获得授权，非商业转载请注明出处。