Gold Market Wire
News, analysis and commentary for gold traders and investors
Gold Market Opening
Gold Sits on Support Line
September 9, 2020 - (Gold Market Wire) - Gold is sitting right down on horizontal support around $1927, and trying to hang on. Right now, with the trend line still violated, the odds are favoring the bears.
So far, so weak. When we add the horizontal line, which Gold is hanging on to, we can see the challenge ahead today.
And lastly, above the market, we look at the range we've been in, showing the resistance needed to clear up at $1986.
So, the crowd is shouting at full volume, as ever, that we are off to the moon, but the market is going to test them, while it kills anyone who levers up and swings for the fences - in either direction. All in a normal trading week. What's the take away? Well, as ever, it still remains the simplest explanation. We are in a bull market, no doubt. But the spikes up and lurches down have to be faded. That what the chart tells us. The "This is it!" crowd always gets crucified on the upside, and the "Tree Shakers" feast on those corpses on the downside. What traders need to do is acknowledge the fade, while trading from length and scaling length down or hitting the sidelines when the inevitable happens.
Our spec short in Silver is still "game on" as far as we see it, but we have to watch the Nasdaq very closely. Its been down fairly sharply as of late and could bounce here. The pre-market futures indicate that. So those spec shorts that want out can do so now. Today is going to be an important one, for all the markets, and they will all pivot around the ability of Nasdaq to make a come back.