Having been temporarily bullish in the 1st half of this year (as a 4 year sell-off had stalled near a 50% pullback to the entire 2001-2011 bull-run), the end to a sequence of higher monthly lows has switched signals for GOLD to bearish (www.3canalysis.com/trendtable).
The reversal had come with the market trading close to thick Ichimoku cloud cover.
This view has subsequently been confirmed with Q3 posting a bearish Shooting Star and with Q4 ending a sequence of higher quarterly lows. Along with this investors have sold through 1268.8, June’s Marabuzo line, reinforcing the view that this year’s early bounce was a correction.
Signals continue to point lower, targeting 1249.7, a 38% pullback to the 2015-2016 gains, 1210.9, a deeper 50% correction and 1205.9, June’s base.