However, a break under the last swing bottom at $4,644.46 on April 13 will solidify the call for a drop into a value zone at $4,495.33 to $4,401.84. With the uptrend anchored by the 200-day moving average at $4,252.22 and the major swing bottom at $4,099.12, savvy traders will return on a pullback into this area.
It’s not that they don’t want gold, they do, but at their price. The decision to look for value here comes down to the deck being stacked against momentum plays with money flowing into stocks, oil prices high, and uncertainty over Fed policy with inflation climbing. The preference is to start a new bullish campaign with a controllable position, not chasing headline driven momentum.
