In spite of losses on Monday, Apr [Gold] upticked on IFR's proprietary Trend Intensity indicator and is set to do so again today with any price recovery. The entire $675-80 band shows up on multiple charts as a tough zone to crack, but a push past would then leave technical objectives of $695-700.
With all time frame trend models pointed higher, pullbacks to $664-66 should find buying interest. Key weekly support is at $656-58 this week. Divergent daily momentum readings are a continuing concern that point to a coming correction.
Bears got a boost yesterday in Mar [Oil] as prices plummeted. The market has major measured supports at $56-57, and needs to break below $57 just to extend February's range. Prices have firmed a bit today and are above very short-term supports to either side of $58 Mar.
Daily momentum is barely above neutral, though, and as pointed out repeatedly, relative strength studies are stuck in bear market readings of 20-60 as opposed to bullish parameters of 40- 80. The inability to hold above 50-day moving averages or even test 100-day measures keeps the pressure on bulls. A break of weekly swing point supports at $57 will further the bearish case.
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