Gold Resistance and Support

This morning, we saw gold pull back, but buyers are coming in.  We’ll see where we end the day.  A look at a weekly chart of gold may be helpful…

As you can see, gold is up against overhead resistance from last July’s high.  It may pull back here before going on to test all-time highs from March of last year.

If it does pull back, gold has support at 940 (recent uptrend) 912 (Fibonacci support), and below that, the former downtrend line … which would lend support around 880.  I’ve put the old downtrend on the chart.

Notice I’m talking about a potentially huge correction.  But any of these could happen — and gold would still be in a bull market.  It just shows the kind of wild market we’re in right now.

Be careful out there.

P.S. I just noticed the typo in the chart.  Sigh! What must you think of me?

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