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Monday, June 30, 2014

Monthly Technical Reviews on Gold and Silver (July 2014)

GOLD (XAUUSD)
Dominant Bias: Bullish
There is an established bullish bias on this market, with the greater probability that the price would continue going higher.  However, there could be some temporary pullbacks along the way, which should not take the price below the demand levels at 1299.00 and 1288.00, so that the bullish bias could continue to be valid. Meanwhile, the price could reach the supply levels at 1333.00 and 1344.00. In fact, the price has resumed a renewed northward journey, following a period of consolidation in the context of the extant uptrend. 


SILVER (XAGUSD)
Dominant Bias: Bullish 
This is also a bull market – with its Bullish Confirmation Pattern being valid.  It is normal that Silver is moving in a positive correlation mode with its Gold counterpart. The price has tried to resume its northward movement after being recently caught in an equilibrium phase. The equilibrium phase just happens to be a pause in the northward journey. That is the normal price action, because sustained trending moves are invariably punctuated with pauses, after which the trend would continue. The price could end up reaching the supply zones at 22.0000 and 22.1000 in the month of July 2014. 



Learn from the Generals of the Markets: Market Generals

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