Forex Marketz Daily Forex News – Fully Markets Update
Gold has been written about by virtually every news and reporting agency. It has dropped in one month from 1250 to around the present of 1161. The trend was a classic bearish pattern. Let’s look at the daily chart:
As the bear pattern was so significant an fast we see that the bollinger band range is large — between a support level of 1269.50 and a resistance at as low as 1127.90. Bear power was strong. In the last week we can see that although the trading anchor has been raised to as high as 1170, the flunctation has remained on the bottom portion of the bands clearly indicating a trend unchanged. Furthermore, we see that simple moving average is also down to support this theory. Let’s look at the half hour chart:
In the thirty minute chart we have a different trend emerging from the last two days. A wave pattern settling the trade range between 1155 and 1170. Today we are seeing more strength in bulls power and notice the trading in the upper bollinger bands. From this chart we see the potential of recovery but at the very least a retreat of bears power.
On the above minute chart we can see the erratic trade pattern but in a confined areas of 1160 to 1166.
Normally we would rely on long term patterns as in the daily to see the confirmed trend. In this case, most traders would be interested in a short term position, and so, we can see some potential in the 30 minute range charts. Investors should be on the look for movement outside of the wave range in the 30 minute charts and that could mean a change in the position. This change could then open the opportunity to start a trading position for a healthy profit prediction.
