Friday, September 23, 2011

Gold Technical Analysis 23rd September 2011. The Fed Strikes back.

For those who traded without considering any fundamental announcements, you probably got sucked into a bear trap. Which is a consolidation that turned bearish suddenly. What did the Fed do to make it bearish? Here you go.

Any ways not all is lost yet, trading now is extremely volatile, I personally would wait till the Asian Markets open, remember the Chinese are great gold bugs and will probably see a great bullish move to counter this ‘horrific plunge’

For Singapore’s Side, gold might have fallen, but the US exchange rate has rise to 1.3 : 1. Price of gold in SGD has essentially stayed almost the same.

Read on for the Trading situation today.

If gold falls beyond these 2 levels then it is going into a free-fall mode till the 1600-1650 levels. If it decisively challenges these areas then it could be back into consolidation mood, but prepare for wild swings. WILD.

Still looking very bearish in the middle and short term. Longing gold perhaps should only be done once it is above the purple line decisively.

Looking bullish doesn’t it? This is a 10 minute chart, it is showing what I call the ultra short term. It is now in the buy zone. But the overall tone is fundamentally bearish due to NO hint of QE being announced.