Gold Very Overbought In Bear Trend
Jason Sen | Jan 10, 2017 06:52AM ET
Gold now very overbought in a bear trend as we retest of important resistance at 1180/82. Again, shorts need stops above the December high at 1187/88. An unexpected break higher this week however is a buy signal and initially targets resistance at 1199/1200 and again at 1204/05.
Below 1180 is more negative and should help our shorts as we target minor support at 1176/75 before good support for today at 1171/70. A low for the day is possible here again but longs are too risky. A break lower meets probably the best support for this week at 1162/61. A bounce from here is likely on the first test this week, but longs need stops below 1156.
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