Brandt Confirms Gold Parabolic Move, But Sounds Warning Using Bitcoin Parallel
The post Brandt Confirms Gold Parabolic Move, But Sounds Warning Using Bitcoin Parallel appeared on BitcoinEthereumNews.com.
Gold futures have entered an unmistakable upward momentum, with market analysts citing parallels with Bitcoin historical performance. Seasoned trader Peter Brandt recently confirmed that the precious metal is in the midst of a significant bullish trend. However, despite this optimistic outlook, he warns that traders could easily exit the market too early, missing out on the full potential of the price surge. Gold Enters Parabolic Move Brandt has pointed out a parabolic advance in the gold market. Such parabolic patterns often result in sharp movements, with Bitcoin’s previous bull cycles presenting a parallel. In those cases, early profit-taking often meant missing the final, explosive leg of the move. In Brandt’s charts, the gold futures price has broken through several key resistance levels. The most significant of these is the $2,636 mark, a level the price has just tested and appears ready to break above. This breakout could signal that the gold market will continue to rally. Additionally, the former resistance level at $2,580 has now turned into a key support level. This level will present formidable defense for when the market sees a downturn. Gold Futures 4h Chart | Peter Brandt Interestingly, the eight-period SMA shows that the price is well above the current average of $2,618. This confirms the strong bullish momentum. As long as gold futures remain above this moving average, the uptrend should continue. However, these parabolic trends can often be unsustainable in the long run. They culminate in sharp reversals, as seen in the past with other assets, like Bitcoin. While the current trajectory suggests higher prices, it is important to consider caution once the curve steepens. Meanwhile, the RSI currently sits at 67.78, nearing the overbought threshold of 70. This current position indicates that the market is approaching an overheated condition, though it has not…
Filed under: News - @ September 20, 2024 2:24 pm