Gold 1 OZ (XAU=X) Heffx Technical Analysis

Gold 1 OZ (XAU=X) Heffx Technical Analysis

Gold 1 OZ (XAU=X) Heffx Technical Analysis

Gold and silver prices are trading near stead in early-afternoon U.S. trading Thursday. Prices are well off their daily lows as the U.S. dollar index has backed down from its daily high. Still, the greenback has rallied strongly this week and hit a four-week high overnight. Combined with sharply lower crude oil prices today, these two important outside markets worked to limit buying interest in the precious metals markets. April gold futures were last down $0.10 an ounce at $1,314.30. March Comex silver was last down $0.001 at $15.70 an ounce.

The U.S. dollar has appreciated this week following a strong U.S. jobs report issued last Friday, which contrasts with some downbeat economic data coming from other major economies recently. Just last week the USDX hit a three-week low. The other key outside market today sees Nymex crude oil prices solidly down and trading just above $52.00 a barrel. It will be tough for the metals and other raw commodity markets to sustain price uptrends if the oil market starts to significantly erode again.

Technically, April gold futures prices closed nearer the session high today. The bulls still have the overall near-term technical advantage. A 2.5-month-old price uptrend is still in place on the daily bar chart. Gold bulls’ next upside near-term price breakout objective is to produce a close above solid technical resistance at the January high of $1,331.10. Bears’ next near-term downside price breakout objective is pushing prices below solid technical support at $1,300.00. First resistance is seen at this week’s high of $1,323.60 and then at $1,331.10. First support is seen at today’s low of $1,306.40 and then at last week’s low of $1,302.70. 

Overall, the bias in prices is: Upwards.

By the way, prices are vulnerable to a correction towards 1,272.97.

The projected upper bound is: 1,330.60.

The projected lower bound is: 1,291.86.

The projected closing price is: 1,311.23.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 28 white candles and 22 black candles for a net of 6 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 24.7106. This is not an overbought or oversold reading. The last signal was a sell 3 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 60.63. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 3 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 28. This is not a topping or bottoming area. The last signal was a sell 3 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 0 period(s) ago.

Rex Takasugi – TD Profile

PREC.M.XAU= closed up 3.310 at 1,309.460. Volume was 8,900% above average (trending) and Bollinger Bands were 23% wider than normal.

Open High Low Close Volume___
1,306.0501,311.9301,302.1101,309.460 16,121

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 1,311.87 1,275.12 1,245.53
Volatility: 12 10 11
Volume: 1,612 322 81

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

PREC.M.XAU= is currently 5.1% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect very strong flows of volume out of XAU= (bearish). Our trend forecasting oscillators are currently bullish on XAU= and have had this outlook for the last 44 periods.

The following two tabs change content below.
HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.

You must be logged in to post comments :  
CONNECT WITH