Spot Gold : Calm before the next storm
February 22, 2011 Leave a comment
Gold rallied above the USD$ 1400 mark as expected, and is now undergoing a low volume period of price consolidation. Maybe, like us its waiting for the Libyans to wake up and fill the news wires again, and if things go from bad to worse, which is our expectation given the madness so far, then the shining metal should at least have a go at the day chart trend resistance at 1409 later in the day. It is likely to break out here, an 1420 seems a possible target for the hours ahead.
It would need some really good news to stop the precious metal advance just yet, but if luck and spot Gold drift down to nearer 1387, buy some if not already long. XAUUSD is currently trading at 1398 and change.