Gold forecast 9 to 13 June 2014
Gold daily chart technical analysis
Gold future on last trading session closed at 25,863 with loss. On daily chart, gold prices are in downtrend and trading at fresh lows. From short-term view, gold is trading in oversold state with strong bearish momentum. On downside, 25,500 and 24,800 are support zones for next week and on upside 27,400 is 1 month average level and first resistance level on chart. Above that 28,200 is 3 month average and next major resistance level. Indicators are bearish and deeply oversold state. Traders here keep buy on dips view and expect sharp short covering rally ahead.
Gold weekly chart technical analysis
Gold future this week tumbled by 4%. A new contract is opened for trading with heavy discount suggesting underlying bearish view of market. This was sixth losing week for gold prices and in these six weeks period gold tumbled from 29,000 to 25,800. This week gold has hit high at 26,970 while low was at 25,772. Total 1200 rupees or 5% weekly volatility and closed with deep loss. Gold weekly chart price trend and momentum both are down and now prices are entering oversold zone. From medium to long-term view, 25,000 and 23,800 are downside support zones and on upside 28,000 and 28,500 are strong resistances. 28,500 is 2 years average level and strong supply zone on weekly chart. Long-term investors here follow buy and accumulate view for targets 28 to 28,500.