) 200-period (bold, gray)
RSI-14 with Simple
5-period of RSI attached.
Elliott Wave Principles
Market and Price Action (patterns, candlesticks)
Intraday pivots and Intermediate-term
Multiple Time-frame Analysis
Gold's Weakness Contained in Rising Channel
While Silver Slid Lower (5/12)
Short-Term to Medium-Term
- Gold has been consolidating, but the weakness has been
contained within a rising
, and supported by the 200SMA in the 4H chart.
- The momentum is still bearish in the short-term, but if the RSI
reading in the 4H chart rises above 60, it is ranging instead of
- A return to
is possible with a break above the 61.8% retracement level near
- The daily chart below shows an upside swing projection to
(suggested by a positive
signal where the RSI low was lower, but the corresponding price
low was higher). This mediumt term bullish
scenario opens up with a break above
- Note that the RSI reading in the daily chart is still above 40,
maintaining a longer term bullish momentum.
- Also note that gold is in a long-term bullish mode, and even if
the market extends the current
in a swing projection manner, we are still within a long-term
and the 200SMA in the daily chart.
- The point is that the bearish outlook is very tentative, and a
should not be considered until at least a break below
. On the otherhand, the bullish
scenario appears to be setting up.
Has gold completed its
and is it ready for bullish
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Fan Yang CMT
Chief Technical Strategist