Gold Chart Update.

By Joshua E. Stone

The chart to the left shows gold heading to the key fib in the 851 area next. As mentioned in a prev post , my bias is for gold to fall over the coming weeks and maybe months. It will be a tug of war as the market decides how well the Fed deals with inflation issues. Most think they will be very carefull not to let it get out of control, so thus the price of gold will be a choppy grind to the upside over the next 3-4 yrs.

Gold Chart & Comments

First Published: Thursday, March 12, 2009, 9:09:03 AM

By Joshua E. Stone

The chart to the left illustrates the consolidation taking place between the major monthly fib lines.
The 23.6% is now serving as res, and the 38.2 is now support.
My personal bias is we can see more consolidation and perhaps an attempt at lower prices than the 38.2% level over the coming months. That said most agree it’s on its way up over the next 4-5 yrs; so this is an ideal entry area for those who can do it.