Weekly Spot Gold Technical Outlook : Kamlesh Jogi

Sudden rise in Crude Oil prices and weaker dollar is supporting this bullishness in Spot Gold. Spot gold registered weekly high near 931.90 which is +$65.20 from last weeks low. Low registered this week is 874.10. Spot gold finished its weekly bullish move near 929.80, bit higher then 9 days moving average of 903.11



Technically Gold have turned bullish on the break of short-term resistance of 909 which will act as a initial support now. Momentum studies are bullish but are now at overbought levels and will tend to support reversal action if it occurs. The daily stochastics have crossed over up which is a bullish indication. The prices closed above short term and medium term EMA, which supports bulls. MACD is heading up wards in positive region, showing increase in bullish momentum.

The 13-day RSI over 70 indicates the market is approaching overbought levels. It is a mildly bearish indicator. Current 13 Days RSI is 63.008, which still supporting bulls.

Next support below initial support of 909 is seen at 895 and 873 while long term support still there in range of 857-848 ranges.

As market have broken previous resistance of 909 and 917, Next major resistance is seen near 935, if breaks and sustains above it will turn into next level of 954 and 977. Strong resistance is seen near 977.

Regrds,

Kamlesh Jogi

Commodity research Analyst