I am considering adding to my current short position on gold.
Here are the reasons: Gold has
Since the 17th January 2016, gold has rallied quite nicely and has not touched its 50 period exponential moving average. In over two months, it has not yet touched that average.
It appears due for a retracement to reach that average at $1214.00 per ounce.
It is currently trading at $1243.00 ; though I went short at $1257.00.
On the 11th of March, Gold did a quasi key reversal day ( made a new higher but closed below the previous day’s close).
The 8 and 21 period moving averages have also begun to flatten suggesting that the bulls are beginning to tire.
I would suggest shorting at this price with a stop at 1270 regions and a target of 1210.
Let’s hope it works out.