Gold GC-Mini Market Analysis
The Gold GC-mini continued its march upward, reclaiming almost all the ground it lost the week prior. Moves downward tended to be weak with large tails beneath the bear bars while moves upward are bull bars closing near the extremes. Pullbacks are being treated as buying opportunities for bulls. The overall bullish market structure remains intact. The market has been in the 4300 – 4580 range for the past 4 weeks.
The Weekly Gold chart
- This week printed a bull inside bar closing on its high, discouraging to bears who were hoping for continuation from last week’s strong bear bar. Inside bars are triangle patterns on lower time frames.
- Price bounced higher after a pullback retest of the previous triangle. Many traders find it more ideal to buy the 2nd entrance retest rather than buying the initial breakout.
- 7 of the past 10 bars were bullish. Most of those bull bars closed near their highs.
- Price bounced after tapping the 50% pullback mark of the previous bull leg.
- Bears want to keep price ranging in a downward channel.
- Bulls are looking for breakouts to the measured move and new all time highs.
The Daily Gold chart
- Breaking out of cup and handle pattern.
- This week saw no bar close beneath 4450.
- Significant tails beneath the daily bars reveal the presence of determined bulls.
- Bulls continue to maintain space between price and the moving average.
- The bulls put in strong bars on Monday and Tuesday, after which the bears were able to pull price back below the 50% mark, giving bears a chance to fix their trades and get out at break even. Price then bounced upward from the 50% mark to continue to close at the high for this week.
- Bears want a double top reversal, hoping to close bars beneath the 4300 support level. Bears want to disrupt bullish market structure by creating a lower low.
- Bulls want to put in a measured move of the previous bull leg which would send price well above 4700.
Market analysis reports archive
You can access all weekend reports on the Market Analysis page.
