The direction of the short-term trend on the gold chart is set by the upward wave of December 15, 2016. On a non-weekly chart scale, this site complements the upward correction that began a year and a half ago. Gold quotes approached the lower boundary of a wide potential turnaround area. Within its framework, there is a powerful level of resistance, already repeatedly changing the direction of the short-term trend of the instrument.
The August 18 decline in its potential claims to start a reversal construction. In the coming days, the middle part of the zigzag will be worked out, after which conditions will be created for the reversal of the inter-trend trend.
At the forthcoming sessions, the growth of quotations and the formation of a change in the direction of traffic are expected. The active descending phase is more likely at the end of the day or tomorrow.
The boundaries of the resistance zones:
- 1290.0 / 1295.0
The boundaries of the support zones:
- 1280.0 / 1275.0
Explanations to the figures: For simplified wave analysis, a simple type of wave is used that combines 3 parts (A; B; C). Of such waves, all kinds of correction are composed and most of the impulses. On each considered time-frame the last, incomplete wave is analyzed.
The zones marked on the graphs are indicated by the calculation areas in which the probability of a change in the direction of motion is significantly increased. Arrows indicate the wave counting according to the technique used by the author. The solid background of the arrows indicates the structure formed, the dotted one indicates the expected wave motion.
Attention: The wave algorithm does not take into account the duration of the tool movements in time. The forecast is not a trading signal! To conduct a transaction, you need to confirm the signals used by your trading systems.
