GOLD broke M-neck @1678; will 1590 or 1428 be the bottom?
Gold has been on a downfall since it broke the 2018 uptrendline last June 2022. It attempted to rally
but was rejected 2x at 1815 & then 1730, both along the black downtrendline from 1078 April 2022 top.
For last 5 weeks, it has been chopping around 1678, the neckline of a big M-pattern started from the July 2018 low of 1169 up to the ATH @2e20890c1d4645f3b11848906a7713
BEARISH BIAS: It already broke the weekly wma200 & is now supported by the monthly mma50 line. If gold fails to recover wma200 & break above 1678 neck & the downtrendline this week, then most probably the recent low at 1622 will also fail. The next 2 supports are 1590 & 1428.
WATCH OUT: gold cannot recover with the dollar index DXY still continuing higher. The DXY may peak out once the FED pivots to less aggressive hikes after confirming a lower CPI data for Oct. As for now investors are still selling equities & parking into dollar.
Not trading advice
but was rejected 2x at 1815 & then 1730, both along the black downtrendline from 1078 April 2022 top.
For last 5 weeks, it has been chopping around 1678, the neckline of a big M-pattern started from the July 2018 low of 1169 up to the ATH @2e20890c1d4645f3b11848906a7713
BEARISH BIAS: It already broke the weekly wma200 & is now supported by the monthly mma50 line. If gold fails to recover wma200 & break above 1678 neck & the downtrendline this week, then most probably the recent low at 1622 will also fail. The next 2 supports are 1590 & 1428.
WATCH OUT: gold cannot recover with the dollar index DXY still continuing higher. The DXY may peak out once the FED pivots to less aggressive hikes after confirming a lower CPI data for Oct. As for now investors are still selling equities & parking into dollar.
Not trading advice