Lower High and potential rejection/ sell opportunity

25 de mai. de 2018

As expected, Gold found enough support on the First support from the previous 1W Higher Low (extended trendline from December's 1,236 Low). Consequently it rebounded within the 1D Channel Down (RSI = 46.217, MACD = -7.890, ROC = -0.724) and according to the resisting trendline, it has made the expected Lower High near 1,306. This is for us a unique short opportunity with two targets: the 1,290.15 S1 and 1,274.51 S2. All parameters indicate that this inflated price is due to investors seeking safe investments with the new trade war developments. DX is still on the rise, so there is no concern for our Gold shorts for the next two - three weeks.