Gold Prices Continue to Move Sideways

Gold GC-Mini Market Analysis The Gold GC-mini revisited the previous area of agreement. Bulls were able to protect support. Both the daily and weekly charts closed with strong bull bars closing near their highs.Weekly bulls are hoping for a 2nd entry long after retesting the triangle that was holding support.Weekly bears want to break this support, their first target being a measured move based upon range of the area of agreement. Weekly prices closed beneath the moving average for the past 5 weeks. Bears are still in control. Weekly bears want to continue printing another leg similar in length to the previous leg. Despite a good showing for the daily bulls, the bar still closed beneath the moving average. Bulls need to close consecutive bodies above the moving average in order to regain control. Prices are currently at the top of a daily bear channel. Daily bulls are attempting to break the bear channel with their strong bar on Friday, which was also solid follow through after Thursday’s smaller inside bull bar. Inside bars are breakout bars.Prudent weekly bears will wait for price to return closer to resistance in order to keep selling.Daily bears are having to make a decision to sell now that prices are near support in their time frame. Currently prices continue to range in agreement. The Weekly Gold chart 5 consecutive bars closing beneath the moving average. Price returns to the area of agreement. Bulls defend support. 5 of the past 7 bars are bearish. Bears are in control. Bulls want to send prices back to the moving average. Bulls want to break the bear channel. Bears are looking for measured moves based on consecutive bars. Bears see this week’s bar as a healthy pullback. Bulls see prices being at the bottom of the range established by their previous leg up. The Daily Gold chart Thursday was an inside bull bar. Inside bars are breakout bars. Friday broke out to the upside with a strong bull bar. Prices are at the top of a bear channel. Bulls attempting to break the upside of the channel. Prices remain in a sideways range. Prudent bears will sell the pullback to the moving average. Bulls want to close a body above the moving average. Bears see prices being at the top of a sideways range. Bulls want to test the pivot of $4273.3 printed on September 16th. Bulls want to close a body above the previous upper tail $4259 printed on October 10th. Market analysis reports archive You can access all weekend reports on the Market Analysis page.