Gold- New ATH in 2021? Long term outlook

8 дек. 2020 г.

I've been a strong advocate of Gold reversal since it dropped under 1800 and reached 1765 and we are more than 1000 pips away now in just 6 trading days.
More, I've said on in the weekend comment that 1850 will fall and this earned me 300 pips profit just yesterday, but now what?
As I said a couple of times before, we need to see the forest from the trees, and the bigger picture doesn't give us any reason to be bearish in the long term.
We can clearly see from the chart that the long term trend is strongly up, and even more, that this was just a correction and formed a flag.
For me, a clear signal that the correction is over comes with a break back above 1900 and from there the sky's the limit, or 2300 zone to be more realistic:)
Of course, we will have corrections, spike downs, or short term drops on the way, but if you want to stay on the "safe side", this should be considered good opportunities to build up longs and going with the dominant trend.
In the short term, 1850 is now support and, as I said, a correction to that zone would be a good chance to buy