Gold is Bearish on the Short-term

5 Mac 2020

Gold was among the winners of the Fed's decision this week. Valuable ground's given and #1,600.70 looks unreachable for at least #2 sessions. Investors clearly show their interest to try riskier assets like equities and as long as Stocks continue to rise (Currently on Ascending Channel), Gold will keep losing ground (that is what I am waiting for). Daily chart turned Bearish with Support level priced at #1,626.70, and if broken I expect historic fall of Gold (my estimation show even #1,520.70 and #1,490.70 in succession. Quarterly Investors will pressure on the Support based on Oversold Williams% and Bearish RSI Divergence. Bearish pressure has the potential to make a run to the lower Keltner channel (below my Support). If Gold achieve consolidation/correction there, my outlook will be automatically invalidated. The sentiment is strong Sell and the price cannot rebound more at the moment. Gold has corrected most of the Asian losses with a Hourly 4 twin candle on today's High Volatility, as Hourly 1 Bullish sequence is nothing more than Gold spiking up as an answer to a small Stocks downturn, but since Stocks broken the Resistance, I expect Gold losing value with every Daily candle. Geopolitical tension has not receded and Daily displays very balanced Bearish technical. In any case, Target #1,600.70 is still in effect.