Gold Bulls Gain Fresh Near-Term Technical Momentum

april_comex_gold-2011.gifThe gold market bulls on Tuesday gained fresh upside near-term technical momentum by pushing April Comex futures prices to a fresh three-week high of $1,367.00 an ounce, as of this writing. The gold market has rallied well up from the late-January low of $1,309.10, basis April futures. A fledgling two-week-old price uptrend is now in place on the daily bar chart. Tuesday’s gold market action is also starting to suggest the late-January low of $1,309.10 was just a “reaction low” amid price uptrends that remain firmly in place on the longer-term charts. Gold bulls’ next near-term upside technical breakout objective is to produce a close above solid technical resistance at the $1,380.00 area. The bears’ next near-term downside price breakout objective is pushing prices below trend-line technical support at the $1,340.00 area. Overhead chart resistance for April Comex gold futures is seen at $1,370.00 and then at $1,375.00. Support is seen at $1,360.00 and then at $1,350.00. Stay tuned!–Jim Wyckoff

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