Gold Price Faces Huge Test around 1130
Chart Prepared by Jamie Saettele, CMT
-The last several updates of 2015 reiterated that “support is just under 1040 and that current COT figures are consistent with a market low.” Gold ended up holding the 1046 low (a weekly reversal formed that week). The turn higher in the New Year is consistent with how gold has traded the last several years (low into late December and then a strong start to the year). 1130 (2014 low and close to the 200 day avg) does loom as resistance for the gold price. A break above 1130 would be viewed as a positive in what may be an attempt at forming a major bottoming pattern.
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