Gold likely to pump in long term; possible correction mid term
Gold has a very high inverse correlation with DXY which according to the indicator Phoenix Ascending could be on a long term downtrend. Gold itself also demonstrates good potential for long term upside move.
In the 2, 3, and 4 month timeframes, Gold has touched the bollinger band of 3.618 SD and thereupon it retraced. We have seen in the past that a bull run of any scale has a tendency to move up until it just touches the BB of 3.618 SD and then it started coming back down for a major technical correction at that particular scale of observation. For the bull run we have had the past few years, Gold has gone up strong and now we could be primed to have a bit of a correction here before it is ready to continue to go up again, as dictated by high bullish sentiment in the 12M timeframe.
The fact that DXY could seemingly be on the descent as indicated by Phoenix Ascending is also one of the reasons why gold could continue to have long term bullish potential.
Phoenix Ascending 2.121 is an indicator by user @WyckoffMode.
In the 2, 3, and 4 month timeframes, Gold has touched the bollinger band of 3.618 SD and thereupon it retraced. We have seen in the past that a bull run of any scale has a tendency to move up until it just touches the BB of 3.618 SD and then it started coming back down for a major technical correction at that particular scale of observation. For the bull run we have had the past few years, Gold has gone up strong and now we could be primed to have a bit of a correction here before it is ready to continue to go up again, as dictated by high bullish sentiment in the 12M timeframe.
The fact that DXY could seemingly be on the descent as indicated by Phoenix Ascending is also one of the reasons why gold could continue to have long term bullish potential.
Phoenix Ascending 2.121 is an indicator by user @WyckoffMode.
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