Gold Spot / US Dollar Breaking Its Six Year Resistance.
Updated
Since 2013 Gold has been below $1400 USD per ounce trading in a tightening range. It has spent the last six years trying and failing to get back above $1400, in the process creating what can now be viewed of as a Bullish Ascending Triangle. A break out above this formation is a very bullish sign and Gold didn't disappoint breaking out decisively and with large volume. There is nothing but air above $1400 due to lack of time spent trading in that range up until we reach the well respected 61.8% Fibonacci Retracement level at $1585 USD, an 11.5% gain from current levels.
A move like this in Gold would also by definition coincide with a fall in value of the US Dollar index (DXY) and signal a higher likelihood of economic headwinds in the near future.
Disclaimer: This is not financial advice merely my opinion.
A move like this in Gold would also by definition coincide with a fall in value of the US Dollar index (DXY) and signal a higher likelihood of economic headwinds in the near future.
Disclaimer: This is not financial advice merely my opinion.
Trade closed: target reached
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.