Gold / U.S. dollar declined

Gold price technical analysis 30 - May, 2013

The U.S. dollar has made some gains against some of his counterparts since Opening markets in Sydney, showing strength versus pairs such as the New Zealand dollar and the Canadian dollar, and of course, in front of gold (gold / U.S. dollar) … Even if these developments are likely to be temporary until investors see the third set of quantitative easing as it is, a temporary Band-Aid, not a solution under any circumstances.

As a result, gold retreated / U.S. dollar after he had climbed last week to near its highest level in 12 months at 1790.50, with the pair falling this time of high 1777.30. With this, in the month of February, when the price reached its height, down more than 1,000 points in a single day and was descending pattern that continued almost to hack up the latter, which began on August 21.

Since then, the pair began moving steps toward the top with stops at every 200 -300 points to correct or strengthen small. This is important, since we had see furtherance last before the pair tries to move towards the highest level during the month of November 2011 or thereafter.

Fibonacci projections indicate that I might see this pair rise until 2350 but it is not clear how long it takes to get there. If the price manages to penetrate the lowest level yesterday at 1753.80, it is possible to see the pair back up to the level of weekly S1 at 1737.37, which is also a region that contains many of the highs and lows that go back to the beginning of 2011 and a high level of support.

If penetration rise last week, improvement predicted that up to the level of 1800 at least. Resistance in the bigger picture is the key when 1790 and 1810, but there are a lot of points that must be achieved on the way to the top, and may not stop there.