Gold maintains its ground during potential recovery
James Chen October 28, 2013 6:48 PM
<p>Gold (daily chart) has maintained its ground during a potential recovery that has been in place for the past two weeks since its mid-October 1251 […]</p>
Gold (daily chart) has maintained its ground during a potential recovery that has been in place for the past two weeks since its mid-October 1251 low. The precious metal has risen sharply in value during these two weeks, forming a steep bullish run that has brought the price off its multi-year low of 1180, which was hit in late June as well as off its noted three-month low established in mid-October. In the process of the current advance, gold has broken out above its 50-day moving average but has not yet reached its 200-day, which is currently around the 1386 level. The price is also approaching the 61.8% Fibonacci retracement of the recent plunge from the August 1433 high down to the noted October 1251 low. Further momentum on the current recovery attempt has a clear upside target around the 1425 resistance level, with key support currently residing around the 1300 price region.
StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.