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andysteven

Gold Market Analysis - After the Greek Election

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A trading secret about Gold that allows you to know which direction Gold is going to go before it goes there, allowing you to take trades based upon this secret and have a very high degree of accuracy. Activity in the gold market appears to be ordinary fluctuation, mostly by day traders - there is no indication of increased interest in the gold market.

 

The gold is approaching the lower limit of its medium term bearish channel at 1,579 suggesting a rebound. However, a break through this level will release good potential and initiate a more violent bearish channel.

 

Technical indicators provide buy-signals and evolves in oversell zone supporting the assumption of a rebound. Bollinger bands are much discarded as a result of a strong decline these days. Stabilization is expected in a short term.

 

Gold continues to push to new highs for the week, underpinned by persistent concerns that results from weekend elections in Greece and France will further roil markets. Additionally, another grim round of US data continues to nudge QE3 expectations higher. Major central banks are attempting to reassure markets that they stand ready to act in concert if need be, even as the Bank of England moved proactively in announcing a new liquidity facility which is to commence next week.

 

The outcome of the Greek elections on Sunday seems to favour commodities in general but not necessarily gold, according to early market indications on Monday.

 

According to US Commodity Futures Trading Commission data, money managers have raised net-long positions across 18 US futures and options by 9.1 percent ot 587,327 contracs in the week ended June 12. The Standard & Poor’s GSCI Spot Index of 24 commodities fell for five sessions through June 13, before rallying 1 percent the next two days to pare last week’s drop to 0.9 percent.

 

Despite conditions ripe for a major upsurge, gold prices have generally struggled to gain traction. Escalating uncertainties surrounding global growth in general and Europe, in particular, have capped the upside as investors are undecided whether gold should be treated as a safe haven asset or risky asset.

 

In the world market, gold prices are expected to continue to stay under pressure and trade in the broad $1,575-1,650 an ounce range. The dollar is most likely to remain strong and bouts of euro strength may allow gold prices to move up. However, there is little support from the physical market. Demand is tepid. So, much of gold price movement is based on hope rather than on any solid fundamental reason.

 

However Crude oil can trade with firm path taking cues from positive international prices. Oil rose to the highest in a week as projections showed the two largest pro-bailout parties in Greece winning enough seats to forge a parliamentary majority, easing concern Europe’s debt crisis will worsen and crimp demand, SMC Global said.

 

According to "Barclays Research" Gold prices could move to $1640 per ounce but in the near term support is seen at $1580, 1560 while resistance is seen at 1641 and 1630.

 

gold market analysis

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Where is the secret? I feel like I was let down.

 

When you see a market pullback as much as gold has, you have to have some respect for the market itself.

 

If we look at the price of gold today at approximately $1,330, it pretty much equates to what happened in the last 30 years when gold was trading at a high of $850 an ounce. If you factor in inflation over the last 30 years, gold is probably lower now than it was 30 years ago. So how good an investment is gold? I think gold is more of a barometer of fear than anything else. Clearly there are other investments in the marketplace that have better returns.

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The secret,.... never be wrong in your predictions and throw so much cut and paste into a post it becomes confusing. I dont trade gold but now I have absolutely no idea about it.

 

"The gold is approaching the lower limit of its medium term bearish channel at 1,579 suggesting a rebound. However, a break through this level will release good potential and initiate a more violent bearish channel........

 

".....Gold continues to push to new highs for the week,

....The outcome of the Greek elections on Sunday seems to favour commodities in general but not necessarily gold......,In the world market, gold prices are expected to continue to stay under pressure and trade in the broad $1,575-1,650 an ounce range. The dollar is most likely to remain strong and bouts of euro strength may allow gold prices to move up. However, there is little support from the physical market. "

 

I think the secret could be hiding in either

instead switch to Crude.....or

"If we look at the price of gold today at approximately $1,330, "......can I get gold at 1330

 

Andy.....no offense we are just pulling you leg, but whats the point? it is a bit confusing.

Edited by SIUYA

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The secret,.... never be wrong in your predictions and throw so much cut and paste into a post it becomes confusing. I dont trade gold but now I have absolutely no idea about it.

 

"The gold is approaching the lower limit of its medium term bearish channel at 1,579 suggesting a rebound. However, a break through this level will release good potential and initiate a more violent bearish channel........

 

".....Gold continues to push to new highs for the week,

....The outcome of the Greek elections on Sunday seems to favour commodities in general but not necessarily gold......,In the world market, gold prices are expected to continue to stay under pressure and trade in the broad $1,575-1,650 an ounce range. The dollar is most likely to remain strong and bouts of euro strength may allow gold prices to move up. However, there is little support from the physical market. "

 

I think the secret could be hiding in either

instead switch to Crude.....or

"If we look at the price of gold today at approximately $1,330, "......can I get gold at 1330

 

Andy.....no offense we are just pulling you leg, but whats the point? it is a bit confusing.

 

Thanks Siuya for your participation , so it becoming quite interactive , from the morning i was giving a close eye to a commodity market where the price of gold as shown a down ward rally but it, since the newly government accepted to agree on the bailout , however , it has not shown a drastic effect in the context of India as its currency is , since Indian currency is a weak against dollar, at present the gold is moving around 1623 and its next resistance zone is at 1800, So if the gold breakout its current support zone, it may come down around 1523 and if it breaks that also then it can come to 1370, but luckily as u have stated that u have holdings around 1300 you can obviously hold on , and follow the current price movement.

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