Gold futures tested the top of the down channel created from the daily/weekly Gartley pattern completion Dec. 9 & 10, 2014.
Only end of year positioning (most likely short-covering) on Dec. 30 & 31 pushed price above this down channel.
Gold bears face the concern of the key 61.8% fib retracement level providing support for a 4th test (I consider Christmas week tests as one area given the low volume trading), which would be a second double bottom around that key fib level.
Bulls of gold face the technical onslaught of sellers at key bounce points, as well as a strengthening dollar (/dx) driving down gold priced in dollars.
Projection: More chop in this zone until FOMC minutes released on Wednesday, Jan. 7, 2015, and NFP on Friday, Jan. 9, 2015.
The ECB meeting later in January provides the next major calendar catalyst.
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