UBS sees gold rising to $5,000/oz by first half of 2027
If you call it as I did, a Double Top and then it turns out to be one then it is hardly surprising that we've a recent Top to the market and prices have started to show signs of erosion. Two MAs are pointing Down, one Sideways and one seemingly about to turn Sideways. We are below three out of four MAs and there is a distinct possibility of a Bow Tie formation on the MAs as well.
Importantly, we are testing on the downside the combination of the Lower Tine support from the Aug 2016 - Dec 2016 Schiff Pitchfork and Sep 2016-to-date Uptrend (currently 357 3/8). This means that at the least the bullet point above goes into neutral as we await and assess what is going on still further. To be honest, if we've two consecutive closes underneath Lower Tine then the Long MA (currently 349 1/8) will be under threat and then the key 50% Fib at 340 J£! If not...then the 50% Fib at 369 7/8 may be targeted and then the Middle Tine (currently 375 %). Support is currently at 357 3/8(dynamic), 353 5/8, 350, 349 l/8(dynamic), 345 344 340 % and 331 Resistance is at 361 ^(dynamic), 368 369 7/8, 373, 375 ^(dynamic), 377, 378 % and 380.
Disclaimer: ADM Investor Services International Limited is authorised and regulated by The Financial Conduct Authority. Member of The London Stock Exchange. Registered office: 4th Floor Millennium Bridge House, 2 Lambeth Hill, London EC4V 3TT. Registered in England No. 2547805 a subsidiary of Archer Daniels Midland Company. Risk Warning: Investments in Equities, CFDs, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value, investors should therefore be aware that they may not realise the initial amount invested, and indeed may incur additional liabilities.
These Investments may entail above average financial risk of loss, and investors should therefore carefully consider whether their financial circumstances and investment experience permit them to invest and, if necessary, seek the advice of an independent Financial Advisor. Some services described are not available to certain customers due to regulatory constraints either in the United Kingdom or elsewhere.
