Gold Outlook

Gold Trend! 08-Sep-2011
Technical:

R2=1916.58

R1=1865.14

PP=1828.86

S1=1777.42      

S2=1741.14

The trading range for today is among the key support at 1760$ and key resistance now at 1847$.

Gold is not controlled by any one government and hence cannot be debased like currencies.  So the only strategic maneuver is to manipulate the price at key moments to psychologically influence people not to trade it.Thus, expect these short term violent swings and volatility increases but i  think overall uptrend in gold will continue.Considering its not just a hedge against inflation and a safe haven instrument, but it’s also a hedge against bad governments and bad economic policies.This is all happening while Rome is Burning, the Greek Tragedy continues and US politicians playing politics first and putting country last, I expect the continuing  uptrend movements into gold will continue.

By
M.Zohaib Gadit
Forex Trading Consultant