Gold Market Wire
News, analysis and commentary for gold traders and investors
Gold Market Opening
Gold Struggles to Break the Channel
June 12, 2020 - (Gold Market Wire) - Yesterday's sharp 5% fall in global equity prices has limited Gold's rise, and negated its brief move above the downtrending channel. In the European a.m. Gold is pressing against the downtrend, but is yet to clear it.
Gold no longer has the power uptrend. That is not surprising as it was nearly vertical. But now the downtrend has to be cleared. Considering yesterday's stock market blowout to the downside, Gold has performed remarkably well - but still, it needs to clear the boundary. The challenge is fairly clear. If stocks come under pressure again, Gold may struggle to make a move higher. We had a brief move above yesterday which looked as if we were ready to resume the rally, but the stock market has held Gold back.