Gold is currently trading at 1171.91 is down from the weekend close. If we look at the daily trend here:
We see in the daily the metal peaked at the beginning of October (that’s just one month ago!) at approximately 1810. Now is it down almost 50% in one month! Will we see it rise? Has it hit bottom? Let’s look at the 30 minute chart:
Since November 7, 2011 (Last trading day last week, Gold has risen from 1129 to 1171. Looking at the bulls power on the bottom of the chart we see that the majority of trading is indicating bullish momentum. Nevertheless, if we observe closely the minute chart here:
We see that since the market opened today we have the net position virtually unchanged — the metal has been fluctuating between 1171.90 (current) and 1173. We can see the occurrence of a number of waves. However, these are slight movement in the overall picture. It is trading at a virtual net stance. Investors should look for the movement of the trades (even on the minute chart) to either a firm bullish or bearish stance in the upper or lower bollinger bands to make a better judgement as to its position. Once that has been accomplished, investors could see a very fast return on either side.