Gold Market Wire
News, analysis and commentary for gold traders and investors
Gold Market Update
Gold Moves Higher...But Can It Continue?
January 20, 2020 - (Gold Market Wire) - Gold has made a move higher, but the big question in front of us is "Can it Continue?" Gold has been fairly dead in the water for almost a year now, with a few pieces of volatility.
For over half a year, at least, you could really call it $1750-$1850...in a box formation. Hardly exciting, and nothing of the trending motion we'd like to see. Sure, you could scalp and chop - that's what we did last year. But it's an arduous task. Even more, the question becomes, which side do you want to scalp from? Last year we 'jobbed' the market from the long side, but whose to say we should continue that? That market looks placid - and even uncertain, which is why we are shedding our length on rallies, with a view to getting fairly flat now.
If we add the (weekly, again) downtrend, we get a clearer picture.
And that picture is far less exciting.
Even as we move back to the daily, we can see that the latest burst higher could well just be that...i.e. - nothing to get excited about.
So we'll have to wait and see if our downtrend gets cleared.
Overall, we remain unconvinced by the bullish argument. Gold has had multiple opportunities to get 'airborne' in the past 6-9 months, and honestly, has failed to do so.
We remain neutral. The market remains boring. There are better opportunities to trade in other markets. That is an opinion - with a lot a fact on its side.