GOLD pulls back into the 200 sma support
Updated
GOLD pulls back into the 200 sma support on drying up volume to -29%, testing the support (testing for supply) of the oversold lows end of may.
The short term random walk trend is down, the short term sma trend is up. Depending on the trend direction, this test is read as a sign of strength or weakness, which is the limitation of the programmed indicators. As this is a test of a low and a support zone, this VPA signal is a sign of strength.
Price movements, in any direction, after a low volume pullback can be explosive as there is a vacuum of supply and demand. Watching this further can tell you a lot about VPA.
The short term random walk trend is down, the short term sma trend is up. Depending on the trend direction, this test is read as a sign of strength or weakness, which is the limitation of the programmed indicators. As this is a test of a low and a support zone, this VPA signal is a sign of strength.
Price movements, in any direction, after a low volume pullback can be explosive as there is a vacuum of supply and demand. Watching this further can tell you a lot about VPA.
Order cancelled
There is an undercut of the may low, but the selling volume picked up - so this is no valid pullback into support anymore.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.