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Gold: Is A Break Lower 1870 A Sell Signal?

Published 04/26/2022, 04:36 AM
Updated 07/09/2023, 06:31 AM
USD/JPY
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XAU/USD
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XAG/USD
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GC
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SI
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Gold hit all downside targets as far as 1890 with a low for the day exactly here. If we continue lower, look for the best support for this week at 1879/75. Longs need stops below 1870. A break lower is an important medium term sell signal. 

There is minor support at 1890 and although I think longs are very risky here, a bounce is possible to 1905/07, perhaps as far as first resistance at 1914/17. Shorts need stops above 1921. A break higher meets a sell opportunity at 1930/33. Shorts need stops above 1938.

Silver holding what is first resistance at 2380/90 is a sell signal targeting 2340/35 and minor trend line support at 2300/2295. A low for the day is certainly possible today.

Longs need stops below 2290. A break lower is another important sell signal with a 100 tick drop possible. Shorts at first resistance at 2380/90 stop above 2410.

USD/JPY was running out of steam in severely overbought conditions as predicted, but there is no sell signal yet so I cannot suggest shorts. First support again at 127.80/70. Expect strong support at 127.10/126.90.

Longs need stops below 126.70. A break lower can target 126.00, perhaps as far as a buy opportunity at 125.70/50. Longs need stops below 125.20.

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