By FX Empire.com
The gold markets fell for the session on Friday, but managed a nice bounce in order to form a hammer on support. This is the type of pullback that we love to buy, and think that this offers a real opportunity to get back into the gold markets. The $1,750 level above continues to be resistive, but we feel that it is only a matter of time before that level gives way.
We are buying on a break of the highs from Friday, and will move our stop loss to break even when we get to the $1,750 level. The selling of this market is very difficult to do, and in fact is something that we are not willing to do until a sub-$1,500 level print. The market has been bullish, and the central banks of the world are printing money. With this in mind, gold is a buy.
Gold Forecast February 13, 2012, Technical Analysis
Originally posted here
