Gold ETF (GLD) pulled back into its first major Fibonacci support level 143 area. So far it held that support line on Friday.
This week, 147-148 range will be first resistance level. If GLD fails to move above this resistance level the short-term trend will remain down and the next major target will be the140-141 zone.
Gold relates to US dollar moves. The US dollar has been heavily oversold, but bounced from that oversold condition last week.
This week the bounce could continue pushing US$ up for a little while. Therefore, we expect gold price may continue moving down after a one- or two-day bounce.
We will use short on bounce strategy to look for aggressive short entry around 147.10 area with stop loss 147.68.
This is an excerpt from the free Weekly Market Preview published by Naturus. To see the complete document, visit http://naturus.com
GLD Daily chart
