Gold is also facing a critical technical test that could go a long way in determining the yellow metal’s near-term outlook.
“Gold is now testing the underside of an old 10-year support line, now as resistance. This line is also being joined by another resistance line, at current price levels. The ‘X’ marks the spot that looks to be VERY important for the future of long-term gold prices. Keep a close eye on what happens here because it could determine if Gold gets out of its three year downward funk or its gets a breath of fresh air on a breakout,” said Chris Kimble of Kimble Charting Solutions.
Gold Chart
Chart Courtesy: Kimble Charting Solutions
Tom Lydon’s clients own shares of GLD.