GLD daily is an overextended, imminent drop from this level
GOLD is overextended to the up and at the same time is in a very sharp rising wedge which if broken is very bearish for price. GLD is rising on facts that central banks are buying Gold like never before, but as it usually happens retail traders will hold a bag again. Central banks bought Gold at a cheaper price and several months later are saying they bought so now we have a rally.
RSI has overbought with extreme bearish divergences which will sooner than later cool down with a drop in price.
MACD also has strong bearish divergences.
Overall: GLD has more possibility to drop from this level than to continue this rise. It was rising on the falling dollar and the question of the day is when the dollar will rebound and continue up momentum. Nothing is going straight up or down. I could say it is like a rubber band, the more you stretch the more powerful break will be. It could go up to the upper trend line but a drop will be imminent and fast.
RSI has overbought with extreme bearish divergences which will sooner than later cool down with a drop in price.
MACD also has strong bearish divergences.
Overall: GLD has more possibility to drop from this level than to continue this rise. It was rising on the falling dollar and the question of the day is when the dollar will rebound and continue up momentum. Nothing is going straight up or down. I could say it is like a rubber band, the more you stretch the more powerful break will be. It could go up to the upper trend line but a drop will be imminent and fast.
Note
Will we see a healthy pullback to 165? Its breaks out of the rising wedge. BearishNote
I moved there!
Consistency is the key of success....
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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.
Consistency is the key of success....
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.