Last week I shared Gold was creating a bearish rising wedge up against a key Fibonacci resistance level. (See post here) Now it appears that Gold has broken below the wedge and is “kissing the underside of Fibonacci resistance” in the chart below.
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Gold broke below the wedge and is now testing three resistance levels at (1)! If Fibonacci is going to throw a roadblock to higher prices for Gold, this would be a great place for it to happen.
Silver remains weaker than Gold, as it has only been able to reach its 23% retracement level. For those looking to score on defense in the metals arena, I shared last week that ZSL was a good tool to use up against Fibonacci resistance and it still looks like it is, with a stop above Fib resistance.