Gold and Silver May Go Further Upwards After the Present Consolidations

GOLD (XAUUSD)

Dominant Bias: Bullish

Gold has bottomed at 1240.50 because it has moved from there upwards, testing the supply zone at 1321.50. This is an upward move of over 7600 points in a few weeks. The price may go further upwards; but as it is normally expected, it may first pull back (either in a shallow manner or a significant manner) before going further upwards. The price is currently in an equilibrium phase – a pause in the uptrend. When the uptrend resumes, Gold might surge further upwards, reaching the supply zones at 1330.00 and 1340.00 respectively. Meanwhile, the possible pullbacks along the way ought not to take the price below the demand zones at 1300.00 and 1290.00. This is necessary for the bullish bias to continue to be valid.

SILVER (XAGUSD)

Dominant Bias: Bullish  

There is also a significant northward push on Silver, starting from the area where the recent bearish bias was rejected. The area is the demand level at 18.6000. The price topped at the supply level at 20.9400; a movement of more than 2300 points. Since then, the price has entered a sideways phase, though it is clear that the bulls have upper hands. When the price breaks further upwards from the sideways phase, it could test the supply levels at 30.0000 and 31.0000. The journey may not be smooth, for the bears would put in some resistance along the way.

Source: www.tallinex.com

 Learn from the Generals of the Markets: Market Generals