FX.co - Analysis of Gold for December 16,.2021 - Potential for the downside rotation

2021-12-16T16:22:54

Relevance until2021-12-17

Technical analysis:

Analysis of Gold for December 16,.2021 - Potential for the downside rotation

The gold is trading into upper Bollinger band and into the extreme reading on the oscillator. There is potential for the downside rotation.

Trading recommendation:

Due to extreme condition on the Gold and overbought market, I see potential for the downside rotation.

Watch for selling opportunities in case of the bearish divergence on the momentum with the downside objectives at $1,781 and $1,764

Stochastic is showing extreme reading and potential for the downside rotation.

Key resistance is set at $1,805

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade

Analytical expert

Petar Jacimovic

FX.co ★ Analysis of Gold for December 16,.2021 - Potential for the downside rotation