Gold Market Wire
News, analysis and commentary for gold traders and investors
The Technical Take
A Tired Bull?
April 16, 2020 - (Gold Market Wire) - Gold is less than impressive today as the move up failed to follow through and the resistance we pointed out earlier this week at $1750 seems a significant hurdle.
In addition to that we have a chart formation that keeps us on the sideline, and maybe even encourages us towards a speculative short if the market falls below $1685-90 at the close on Friday.
This doesn't look like a market ready to lurch higher and stay higher. To us, it looks like gold is either resting for a while, or has run out of energy. While the second Shooting Star isn't as big as the first, we still don't like the formation. Gold has had a significant run. The power up trend line has been damn near vertical for a month, with only one classic pullback. That is a lot of price action to the upside.
The market looks ready to rest.
We are on the sidelines waiting. Only a solid close above $1800 could get us to initiate new length.