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Did you know that with MarketMilk™, not only can you analyze forex and crypto pairs, but you can now also analyze gold? 😲

Yep, MarketMilk™ now features the Metals watchlist which contains gold (XAU/USD) and silver (XAG/USD).

Let’s take a look at gold (and silver) and see whether it’s good time to buy. 🔍

What happened to gold (XAU/USD) and silver (XAG/USD) today? 👀

Looking at the Metals watchlist on MarketMilk™, we can see that both gold and silver ended in the green today with slight gainz. 💪

Gold and Silver -10212019

How has gold and silver performed recently? 🗓

It’s easy to quickly see how gold and silver have performed over different timeframes by clicking on the watchlist’s Performance page.

We can see that both precious metals have been doing well over the past 12 months, 6 months, 3 months and 7 days. 👇

Is gold overbought or oversold? 🥐

By clicking on the Metals watchlist’s Overbought/Sold page, we can quickly see if either gold or silver has reached (or close to reaching) overbought or oversold levels on popular technical indicators such as RSI, Stochastic, Williams %R, Bollinger Bands, and Keltner Channel.

No need to flip through charts one-by-one. MarketMilk™ displays this all on one page saving you a lot of time. ⏳

As we can see, all indicators are showing neutral levels, meaning gold and silver are neither overbought or oversold. 👇

Gold and Silver Overbought/Oversold - 102119

Is gold in a bullish or bearish trend? 📈

By clicking on the Metals watchlist’s Trend page, we can see the trend direction (bullish or bearish) and trend strength (strong or weak) over different timeframes (short-term and long-term) of gold and silver.

Looking at their short-term trend, we can see that gold (XAU/USD) is bearish but possibly weakening, while silver (XAG/USD) is still strongly bullish.

But based on their long-term trend, both gold (XAU/USD) and silver (XAG/USD) are still in a bullish trend but that trend may now be weakening. 👇

Gold and Silver Trend - 10212019

We can more clearly see the potential cracks in their bullish trends by looking at where price is trading relative to specific moving averages. 👇

Gold and Silver MAs- 10212019

Notice how both gold and silver are trading ABOVE their 100 and 200 SMAs. This shows that they are both in a long-term uptrend.

Buttt, also notice how both gold and silver are now trading BELOW their 50 SMA! This is a potential warning sign. 🐻

To be confident that the current trend is bullish, you usually want to see price above both the 50 and 200 SMA.

The 50 SMA is considered a significant dynamic support level so if price falls below it, it could mean that the uptrend may be coming to an end and may either reverse or simply trade sideways.

If you’re not familiar with using moving averages (MAs) to find the trend, please read our lesson, How to Find the Trend Using Moving Averages, in our School of Pipsology.

If you’d like to learn more about using moving averages (MAs) as dynamic support and resistance levels, please read our lesson, How to Use Moving Averages as Dynamic Support and Resistance Levels.

We can verify this by looking at gold’s daily price chart. 👇

Gold 1D Chart - 10212019

We can see that the 50 SMA (in purple) is now acting as a resistance area (around $1500).

If price can’t manage to trade back ABOVE the 50 SMA, price may fall down to the 200 SMA (around the $1390-$1400 area).

Given that MarketMilk™; does say that gold’s short-term is bearish, if you are looking to buy gold, it might be wise to hold off right now.

A safer entry would be to wait and see if gold further weakens and see if the 200 SMA can hold as a support level.