With all the drama centered on silver lately, the boring old monetary metal can get overlooked. So let’s update gold.
The daily chart shows the most recent head fake that sure must be frustrating for those cheering the gold price. Gold is back below the down-sloping SMA 50 and also the up-trending SMA 200. The low-mid 1700s is our support target as shown. RSI and MACD are no good. Gold remains in consolidation while the macro markets party on to the tune of additional massive reflation policy.
The big picture is completely as anticipated. It is in a long-term Cup & Handle that poked a new all-time high and needed to make a Handle to bleed out all of the cheerleaders, hangers-on and price junkies. We originally noted last summer that several months at least would be needed to make a proper Handle for this pattern, and that is what is happening. Gold is fine and it will be better when all of the pumpers and casino patrons dressed as monetary professors are dismissed.