by Stewart Thomson
1. To view an important weekly gold chart, please click here now. Double-click to enlarge. Gold is consolidating after reaching substantial resistance in the $1800 area.
2. There was wild gyration in 2012 around that resistance zone and a breakdown that disappointed investors.
3. In contrast to the price action then, the world’s “Queen of Assets” could now be forming a bull flag pattern. Gold may be getting ready to move towards $2000, and then on towards $3000, in a fairly short period of time.
4. Please click here now. Double-click to enlarge one of the world’s greatest charts. Most analysts believe that when the RSI oscillator rises above 70 the market is “overbought” and will suffer a decline in price.