Technical Update - Gold breaking key support. Silver closing in support. Gold/Silver ratio in short term exhaustion move
Kim Cramer Larsson
Technical Analyst, Saxo Bank Group
XAUUSD Gold spot has taken out key support at $1,721. If a daily close below next major key support is at 1,670.
Silver XAGUSD spot closing in on support at around $18.38. If broken next key support is at around 16.95.
XAUXAG Gold/Silver ratio has reached 1.618 Fibonacci Projection AND roughly the peak to trough of the triangle like pattern XAUXAG broke bullish out of a couple of weeks ago. Illustrated by the two vertical arrows.
There is divergence on RSI and with the long upper shadows on the daily candle indicates XAUXAG has reached short term exhaustion and a downwards correction is likely
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