Gold Market Wire
News, analysis and commentary for gold traders and investors
Gold Market Update
Gold Sells Off at Month's End
April 30, 2020 - (Gold Market Wire) - The market senses the importance of today's close, as it always does on the last trading day of the month. An artificial rally would have made us much more bearish going in to May, but now the picture becomes complicated.
The "Box" we identified is, so far, in tact, but the trend line damage is readily observable.
Right now our $1680-$1740 box is in tact. But we don't feel inclined to establish a long position here. A rally above $1705 would have been a decent 'head fake' to get the crowd long, but the market makers look like they couldn't wait and were itching to get short. The $1680 level is going to be telling on the close. The pullback is truly the sign of a nervous market, with buyers waiting in the wings, but the trader's perspective about seeking lower level that we advised has proved right.
Let's see what the shake out is on the close today before we position. This market is there to be bought. But we must be patient to await a solid entry point.