Gold price at tipping point

Mumbai-India (Mar 1)  Gold prices have retraced 61.8% of its recent up move from 29,800 to 30,800 levels near 30,200 level.

 On the daily chart, it can be observed that prices are trading in a consolidation phase of its prior mentioned up move in the form of ‘a-b-c’.

Moreover, on the smaller timeframe, the momentum indicator, RSI has formed a positive divergence, which suggests a possible reversal.

 

 However, the reversal has been confirmed by the bullish ‘Harami’ candlestick pattern, which is formed near 30,200 levels.

 For the coming week, if it manages to hold 30,200 levels, then it is likely that we may see gold prices head towards its recent high of 30,800 levels.

HFL