Gold Market Wire
News, analysis and commentary for gold traders and investors
Gold Market Opening
A Bridge Too Far for Gold?
March 29, 2021 - (Gold Market Wire) - Friday's Gold close came up short in the 'clearing the downtrend' department, and so failed to signal and end of week Buy-on-Close. While we waited - and continue to wait - bullishly in the wings, our set-up failed and so length was not taken. Confirmation did not occur. Perhaps unsurprisingly, the Asian market followed through to the downside this morning.
Our spike low hasn't been exceeded, but it is now so far in the past, its almost worth negating its influence. Instead, we look towards an inside downtrend with a little more power, to carve out the short-term picture.
The market is now trapped in the $1720-$1755 box, the high/low of which we established on March 18. And right now, that is all.
Silver will offer no solace either, and the primary up-trend line has now given way.
And so we still look for the metals markets to find a bottom where length can be established. We keep waiting, because chasing action doesn't work. The "Death by a Thousand Cuts" action in Gold has meant that shorting is out, and so we must maintain patience on the sidelines.
Action in the US Dollar market isn't going to help the Gold Bulls any, as we are now trading under 1.18 EUR/USD. Our length is maintained, and unlikely to change anytime soon.