Gold has closed the past week at $1318 which is above the 50% retracement level from the Prior Swing low. I had mentioned on Twitter (@theboringtrader) as well as in last week’s analysis that if Gold were to close above $1310 we can look at $1360 levels.
I also believe that if Gold closes strongly above the $1340 levels on a weekly basis we can look at targets of around $1435. Not to mention, I still feel Gold is a buy on all pull backs. I think $1340 will be a key level to watch out for as it is the 61.8% retracement level from the prior swing low. This double bottom pullback produces some of the strongest moves. Also on the Daily charts, Gold seems to be breaking out of a nice round bottom which is very Bullish. If you were to see a pull back from this level I am sure it would see some buying which could make it a nice Text book Cup and Handle formation which again is Bullish.
As usual, the market will decide it’s course of action. All we need to do is follow what it does.
Gold trading levels for the next week are as follows
Buy Above 1302 Tgt 1 – 1338, Tgt 2 – 1358, Tgt 3 – 1395
Sell Below 1302 Tgt 1 – 1282, Tgt 2 – 1245, Tgt 3 – 1226
Very Important – DO NOT TRADE WITHOUT STOP LOSS. Use sound Money Management with your Trading Plan and do not over leverage vis-a-vis your trading equity.
Have a Profitable Trading week ahead!
To your Boring Success!!!