Gold price technical analysis 7 – May, 2013 — The pair of gold / U.S. dollar close at level just below the opening price, but remained within the deliberative range of the next few days.
we can say gold price is stuck in a narrow scope. The downward movement stable at $1486 USD/Ounce blocked the road on the upward movement. Between the endless printing of currency by the Federal Reserve Bank and between the permissive attitude of the European Central Bank, and the escalating tension in the Middle East, the gold will be attractive to investors. However, the major equity markets and the USD / JPY is still moving in the up ward movement, and this sustained improvement on the distribution of assets kept moving away from gold in the direction of the stock buying.
At the short term position, I think the price movement will be limited so that we can get out of the consolidation area between $1486 and 1444 USD/Ounce as a whole. Based on the measurements, the exit from this region could take us up to the level of $1532 or 1398 USD/Ounce. There will be obstacles on the road, such as $1498 and 1511 USD/Ounce. Failure to hack beyond the resistance level at $1486 USD/Ounce this week, it is possible to re-sellers to the market.
In the event of continuing the downward movement in the down payment, and if the prices fell below $1444 USD/Ounce of gold, I will be looking to the level of $1430 and 1411 and 1398 USD/Ounce as the next resistance level. And when we become below the level of $1398 USD/Ounce of gold, there is a little things only can slow down this pair of landing until like USA and a lot of investors they will try to do their best. But we will get to the next key support level at $1363 USD/Ounce of gold in the near future. In the meantime, I suggest to sit aside until the trend becomes clear and more obvious fot us if you had any question you can ask on @MElkirsh, you can ask any question about gold price.