Possible long term purchases of gold

GOLD

Time frame: H4

Technical Analysis: Since August 2018, gold has been in a strong upward trend, with strength to break resistance after resistance. Finally, it was able to find a strong resistance at $ 1354 from where it went down. The price began to consolidate by forming the figure "Triangle". The figure is a trend continuation, and the price is now at point 6 of which a new strong upward movement should start. Point 6 coincides perfectly with two very strong diagonal supports (the blue and green trend line). The Blue Trend Line is a long-term support that is designed from the bottom at $ 1160 to the bottom at $ 1,116. The green trend line is the support of the triangular formation. The two trend lines cross perfectly at $ 1264 where it is possible to start a new strong upward movement.

Indicators:

RSI - Displays the presence of divergence, which is an additional signal for a new upward movement.

The price is below 50 and 200 EMA, and at this stage they play a role of resistance.

Entering a deal: When the price reaches level 1264.00, we can position ourselves on the market with "buy" orders.

SL: 1250.00

Alternative scenario: If the price breaks through long-term static support, then it will continue to fall to the next strong support level at 61.8% of Fibonacci.

Read more:

• Gold closed the month in red, but it is targeting $ 2,000 per ounce.
• GOLD: “Sell” to 1000$ Before FED?
• Barrick reached an agreement and extended $ 4 billion loan