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16 Aug 2013
Gold poised for multi-week bull run, re-enter long at $1345.00 - 2ndSkies
FXstreet.com (Barcelona) - After blowing stops above the key resistance $1,350.00, all hell broke loose for the interest of Gold sellers, with the bull run peaking at $1,368.00 before some profit taking, producing a small retracement towards $1,363.00, current price.
As Chris Capre, Founder at 2ndSkies, and who has been making some successful calls on Gold here and here, notes: "The intra-day breakout likely tripped up stops there as it jumped over $18 in 5 minutes. Usually large price jumps like this are due to stops being tripped. This leads to little liquidity being available above the breakout level, hence leaving the breakout players (bulls in this case) to drive the price up quickly."
Going forward, Capre remains long Gold looking to add to his position on any retest into 1345. Upside targets are 1390, 1420, and 1484, Capre said. "My bias short and medium term is bullish and am expecting a multi-week bull run, with only a daily break and close below 1275 will cancel my bullish bias as the PM has now gained 5 of the last 7 days for over $90."
As Chris Capre, Founder at 2ndSkies, and who has been making some successful calls on Gold here and here, notes: "The intra-day breakout likely tripped up stops there as it jumped over $18 in 5 minutes. Usually large price jumps like this are due to stops being tripped. This leads to little liquidity being available above the breakout level, hence leaving the breakout players (bulls in this case) to drive the price up quickly."
Going forward, Capre remains long Gold looking to add to his position on any retest into 1345. Upside targets are 1390, 1420, and 1484, Capre said. "My bias short and medium term is bullish and am expecting a multi-week bull run, with only a daily break and close below 1275 will cancel my bullish bias as the PM has now gained 5 of the last 7 days for over $90."