GOLD: It Got Legs This Time

Recent QE3 news has sparked a rally in commodities, especially in bullion metals. Currently both Gold & Silver are at yearly highs. Moreover, its the beginning of the 3rd quarter and looks like traders are going for fresh longs in fresh quarter. 

Currently price is near yearly highs and may be in for a pullback. 

In my opinion, such a pull back should be seen

GOLD H4

as a opportunity to build fresh long positions 
for a move towards $2000. 


The main reason being that Gold rally has got legs. On every significant down move, previous resistance has turned support and has further ignited the rally. MA100 is also providing a good support to rising prices. 




To get a better pullback area for building long positions, lets turn to daily charts. Here, like H4 chart, 100MA is proving a good resistance area for deciding next move. Although price has breached the trendline, which has constraint price since start of 2012, but price has been consolidating around it. Looks like it may be in for a pullback, but look for 100MA to be a good support and major buying area to build long positions...

Gold Daily