Indepth Gold AnalysisLets go deeper with this analysis for gold D1 time frame. Looking back we recently broke support and dropped to the first 38% fibo target. This fibo appears to have failed to hold and price started to make its way down to the next resistance line which only has two bounces. Naturally we will likely see a third.
The price action shows absolutely no indication that we will stop here and there doesn't appear to be any kind of resistance here.
PLEASE NOTE: "I dont have the indicators displayed on this chart. To see the full visual of the analysis go to www.precisiondigital.ca it is on the home page."
Looking at a full tool chest of indicators we can see much of the same thing:
The MFI so heading south, is below 50 and shows no sign of letting up. We will likely see a spike down with some price action if/when it hits the oversold mark.
The RSI has just hit oversold and generally speaking is still pointing down, although the very moment we see a little softness. Because of the MFI, I suspect the RSI will rise slightly and smash back through over sold territory. This will also cause some price action down.
The OSMA shows great strength for the bears and indicates that we are still very much heading downward. It is rising and well above the zero mark.
The RVI has recently broken support and is slightly below the 0.00 level. If it continues lower, this would indicate that the bear push has just begun.
The Stocastics is oversold and starting to turn up indication that the bull wave may be close. This means we might see some short term stalling until it turns back around. In conclusion I am fairly confident that we will be seeing some more bear movement, at least to the support level at approx. 1228.
With the indicators the way they are, we could easily pass that to hit one of our other support level targets at approx. 1210 and 1194.
Always remember to manage your risk properly and avoid chest pains. Try smaller lot sizes for a while, you just might like it. Good luck!
