- June 14, 2009
- Posted by: Ramki Ramakrishnan
- Category: Gold
Gold has closed below the neckline of what looks like a nice head and shoulders top. The neckline itself lies at 944, and will become a major resistance if the metal continues to slide towards its first target around 900. Readers will remember that I have been calling for a significant downmove in Gold, most recently in my post of 7th June.. If last Friday’s close below the neckline is validated by a continuation of selling this week, then it only reinforces the view that we might have completed the 2nd retracementof an extended fifth wave in Gold. The significance of that view is the downside target is way down, and the down move could be with a speed that surprises a lot of traders. So take care.