Silver seems to have started a new uplegSilver has reach a textbook a-b-c correction, seems now to have started its impulsive wave 3.
Preciosumetals
Gold just setting up a nice top...Technically, Gold is setting up a series of lower highs and should be testing the recent lows soon. The breach below to close below the red support line of 1848 in the next two weeks should see Gold finally retracing decently.
MACD should break down into the bearish territory, and the Relative price strength also turn negative.
This premise appears supported with the non-commercial net positions (orange line, lower panel) getting less net long and about to break down the trendline support; as are the Top 8 traders net positions being more net short (yellow line, lowest pane) having already broken th dip trend support line.
Price target expected of about 1600 in December 2020.
Gold eyes support at $1239Gold’s fourth failure to hold above 200-DMA in two weeks, despite US-Syria tensions coupled with the fact that Friday’s daily close was below 200-DMA suggests the prices could be heading lower to support at $1239.
On a larger scheme of things, the outlook would turn bearish only after a daily close below $1239.
Gold – 200-DMA could be breachedGold’s rebound from $1250 levels in Asian session today when viewed in light of Friday’s bullish price RSI divergence on the 4-hr chart suggests the metal is likely to target 200-DMA stationed at $1263 levels and may even breach it for a further rally to $1270 levels.
On the lower side, only a break below $1240 would signal resumption of the sell-off from late September highs.
