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Gold Touches Important Trendline: What Now?
EWI's intensive Metals Specialty Service brings you unconventional perspectives on gold and silver

By Vadim Pokhlebkin
Tue, 23 Aug 2011 16:30:00 ET
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Most analysts and investors spend time debating about this or that "fundamental," which did (or maybe didn't) push the price of gold higher (or lower). But there is a more objective way to analyze precious metals: technical analysis. 

Editor of EWI's intensive Metals Specialty Service Mike Drakulich employs Elliott waves -- which rely on a defined, objective set of rules and guidelines -- as well as other technical indicators.
 
One of them is trendlines.
 
Trending markets tend to stay within trend channels. There is no "fundamental" explanation for it, but it is a fact. Moreover, when the price touches the lower or upper line of the trend channel, it tends to reverse.
 
Which brings us to gold. In his latest Metals Specialty Service daily forecast, Mike Drakulich shows subscribers this gold chart:  
 
 
Notice that when gold touched the upper trendline on at least the previous two occasions, prices reversed. Will it happen again?
 
While no indicator is accurate 100% of the time, Metals Specialty Service gives you right now the latest analysis of this and two other technical developments in gold: the position of the RSI momentum indicator, and the Elliott wave picture.
 
 

Get daily and intraday updates with the latest analysis and expert forecasts to help your metals trading.

Metals Specialty Service gives you intensive coverage of the world's most-watched precious and base metals so you know the Elliott wave implications of every market move.

Learn more about Metals Specialty Service here >>

 

 

  

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