Monthly Technical Reviews for Gold and Silver (July 2014)‏

gold-trading-online1GOLD (XAUUSD)
Dominant bias: Bullish
There is an established bullish bias in this market, with the greater probability that the price will continue going higher. However, there could be some temporary pullbacks along the way which should not take price below the demand levels at 1299.00 and 1288.00 for the bullish bias to remain valid. Meanwhile, price could potentially reach the supply levels at 1333.00 and 1344.00, having resumed a northward direction following a period of consolidation in the context of the extant uptrend.

Dominant bias: Bullish
This is also a bull market, and with a valid Bullish Confirmation Pattern on the chart. It is quite normal to find Silver moving in a positive correlation with its Gold counterpart, so it has not been surprising to watch price trying to resume its northward movement after being recently caught in an equilibrium phase – really, nothing more than a pause in the northward journey. This is normal price action – sustained trending moves are invariably punctuated with pauses, after which the trend continues. Price could potentially reach the supply zones at 22.0000 and 22.1000 during July 2014.