Gold Becomes Bullish, and Silver to Follow Suit

GOLD (XAUUSD)
Dominant Bias: Bullish
As it was expected, the trend on Gold has turned bullish – with a Bullish Confirmation Pattern in the market. The recent bearish bias drove the price as low as the demand level at 1183.00. That demand level was tested vigorously before further downward plunge was rejected, and since then, the price has moved upwards vigorously, rejecting bearish pulls along the way. Since early October 2014, the price has moved upwards by over 6600 points. It is no longer logical to seek short trades in this market, and buyers would do well to buy on dips, buying when things are temporarily on sale and in the context of the uptrend. This bullish trend may possibly continue for the rest of the year 2014, as dips along the way offer new opportunities to open long trades. Gold may soon reach the supply level at 1270.00.

SILVER (XAGUSD)
Dominant Bias: Bullish
The bias on Silver is also bullish, but the upwards trend in the market is much weaker when compare to the upward trend on Gold. When both Gold and Silver was bearish, the downwards move on the latter was stronger and more furious than the downward move on the former. Now that things have gone bullish, the upward move on Gold is far stronger and more determined that the upward move on Silver. In fact, Silver has been in a kind of consolidation, but when a breakout does occur, it is more likely that it would be to the upside. The price may then reach the resistance level at 18.0000, even going above it.

Source: Tallinex.com

Learn from the Generals of the Markets: Market Generals

CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).

Follow @ItuGlobal

This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.

Comments are closed

WHAT IS ADVFN?

ADVFN covers all things stock market.

From the news and opinion pieces on pages like this to share discussion forums, charting tools, financials, live share prices and Level 2, order book data

If you trade or invest ADVFN has the tools you need to make the right decisions.

• 

  101 Ways to Pick Stock Market Winners

  You need the number one bestselling investment guide, the definitive text for day traders, investors and stock pickers.

• 

  The Death of Wealth

  Dissecting the global economy and the financial markets, the book lays out the evidence for the next economic game changer: the Death of Wealth.

• 

  London Academy Of Trading

• 

  Luis Aureliano

• 

  Lee Wild

• 

  Lawrence Gash