Forecast and Technical Analysis of Futures Gold January 6, 2016


Gold futures analysis shows that the price continues to be located above the moving average, but now for longs still relevant. Senior Channel directed downward, indicating that the downward direction of the movement of the global trend. Junior channel turned to the side, which means that the sideways movement of the trend in the medium term and a possible reversal of the channel up. At the moment the price is above the moving average and higher than Murray's "5/8" indicates that the upward direction traffic in the near future. The first target for the upward movement is the level of Murray's "6/8" - 1093.75, but the long positions currently open is not recommended. If the price will overcome this level of Murray, the new target will be the actual level of Murray's "7/8" - 1109.38. The moving average is pointing up, and the price is above it, so now more likely upward movement in the near future. Heiken Ashi colored the last bars in purple color that indicates a local upward movement. Orders to buy will be considered only after turning up at least one channel of linear regression. The CCI indicator is near the level of 100, which means a weak overbought gold futures.

4-hour timeframe

Forecast and Technical Analysis of Futures Gold January 6, 2016

Technical data of Gold Futures:

  • Senior channel linear regression: direction - down.
  • Junior channel linear regression: direction - sideways.
  • Moving average (20; smoothed) - Up.
  • CCI: 114.6602.

Support Levels:

  • S1 - 1078,13
  • S2 - 1062,50
  • S3 - 1046,88

Resistance Levels:

  • R1 - 1093,75
  • R2 - 1109,38
  • R3 - 1125,00

Trading recommendations:
Analyzing the price of gold is not recommended to open positions: not buy, not sell. To open a long position, you need to wait for a turn up any channel. To open a short position, you need to price fixing below the moving average.