Gold, the charming metal had a long down trend from the second half of year 2011, lasted years: 2012, 2013. Year 2014 was a supportive year for the precious metal with few dips. Currently, the 1128 level is the closest support for the gold buyers at the moment. However, I think that this minor support might be broken because of the strong dollar to test this important support 1076. On a break to 1076 level, we must wait for a while before entering the market again, the GOLD will be dangerous to trade on a break to 1076 level
I prefer the long positions for the gold. Pick the right point to enter and I prefer to wait for the gold to fall before going long. It will make some squeeze down before trying to test our short term resistance.
The GOLD (XAU/USD) has the following major resistance and support levels:
- RESISTANCE: 1174
- SUPPORT: 1076
Breaking these levels in any direction will take us higher or lower.
My Daily BUY/SELL advice (30 pips stop loss applied):
- Sell: at 1076 – Take profit 1050 (26 pips profits)
- Sell: at 1150 – Take profit 1100 (50 pips profits)
- Buy: at 1080 – Take Profit 1180 (100 pips profits)
This review is valid during trading week(s): 12th-20th March, 2015