16.10.2012 - TDS Chart analysis: Gold's inability to top $1,800 looking 'costly after all'
Gold's inability to push above $1,800 an ounce and test old highs is starting to look "costly after all," at least in the short term, say technical analysts with TD Securities. "The strong rejection of $1,800-plus levelsóreflected in the bearish key reversal day (new high, lower low and lower close) that formed on Oct. 5th--suggests a firm cap in place for now in gold," TDS says. "Trend strength indictors are flipping over to bearish from a short-term point of view, suggesting that the correction lower may have further to run lower." Retracement support derived from the $1,530-$1,800 rally since mid-year is providing some underpinning for now, with the initial 23.6% Fibonacci retracement converging with a minor congestion area in the $1,730-35 region, TDS says...............................................Full Article: Source
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