Gold markets fell slightly during the session on Wednesday as the market continues to struggle with the $1,750 level. The area is resistive, but the overall strength in this market has to be respected. The market will continue to get a bid in the long run as the governments around the world continue to print money.
The $1,750 level needs to be broken above in order to continue the rally, but the recent action has shown that the market wants to rise overall. The Dollar is being weakened by the Federal Reserve, and as long as that happens - the gold markets should continue to get a bid. The long-term prospects of this market look strong, and we will buy on pullbacks going forward. As long as we are above the $1,700 level, we are comfortable buying on the dips via short term charts. We won't sell this market at all.
Gold Forecast February 9, 2012, Technical Analysis
Gold Pivot Points (Time Frame: 1 Day)
Name S3 S2 S1 Pivot R1 R2 R3