Gold Medium Term - BULLISH
Moving Averages 1167-1192
As long as price is above 1167-1192 the medium term remains bullish. The dual yellow line just under the averages is true support and we would have to break below those trend lines in order to go back to a medium term bearish outlook on gold. A Monthly close below 1205 would favor a retest of the moving averages and the yellow trend line. On the upside, we need a monthly close above 1322 in order to favor a re-test of the upper yellow line of resistance near the 1375-1400 area. A monthly close above 1322 would also give us our first confirmation that the lows we targeted for Dec 2015 or March 2016 were indeed valid in our forecast as the "low" in gold. In order to say the bull market is back underway via momentum would be to see the triple green uptrend line exceeded in price and supported. That would favor a rally towards 1700.
Another Gold medium term indicator we are seeing is gold holding below the 89 month moving average. Closing above 1322 on Thursday and Friday will favor a test of 1388 could be in the cards as it is the 2014 high.
