By FXEmpire.com - Commodities forecast: Technical analysis for gold using graphs and indicators Wednesday - March 21, 2012.
Let's see the video Gold forecast March 21, 2012.
The gold markets fell again during the session on Tuesday as the market continues to consolidate just above the $1,640 level. The area has been supportive lately, and there are still plenty of reasons to own the metal for the long term, as central banks around the world continue to flood the markets with liquidity. The reality is that the fiat currencies are going to be expanded, and this will over the long term help boost demand for precious metals such as gold.
However, the recent action has us concerned, and we are ready to step back from this market for a while. There are some signs that we could fall further, but it is so difficult to sell this market presently simply because of the massive uptrend that it is still in. The reasons that propelled gold over the last eleven years remain, and until they change, selling isn’t really a thought.
The Tuesday session formed a pretty bearish candle, and it looks as if the $1,640 level is going to be tested yet again. Essentially, we are simply waiting for a buy signal, but just aren’t getting one. This market is still a long term buy-and-hold market to us, but it is obvious that the market needs to go through a bit more of a correction at this point in time.
The $1,600 level will be the next spot we try to find supportive action in which to buy the gold markets. The $1,550 and $1,500 levels also will offer potential levels in which to buy. We don’t know if that is where we go, but there are areas at those handles that should continue to keep the market supported. The recent action has been someone hard fought, but the one thing we haven’t seen is strong demand. Because of this, it is very difficult to buy at this point, and we feel that the best way going forward is to buy gold at lower levels as we feel we will be able to buy it cheaper in the near future.
[Originally Posted Here]