Asset Watch
Tuesday, January 17, 2023
The price of gold futures ended the Jan. 13 session 10.42% above its 100-day moving average (the blue bars at the bottom), while its daily RSI ended the day near 74 (the purple line in the middle).
The vertical grey line near the left side of the chart shows that the Russia-Ukraine crisis pushed gold 11.91% above its 100-day MA, and its daily RSI was nearly 78 on Mar. 8. However, because that was peak momentum, when it reversed, gold suffered greatly.
So, with a similar setup present now, is caution warranted until the technicals cool off?