There's a similar situation showing on the $USD. However, price closed below the trend today and even dropped since the price was created for this chart. To move higher, it has to be regained.
Here's a long time look at gold since I have not posted a gold chart yet. I just wanted to outline the bigger picture and show some sell signals. Red arrows clearly show trend line breaks and indicator crossovers. The "Golden Cross" is a strong indicator for a long term bull. It takes a lot of upside to create the cross, so it's only natural to see some consolidation once it occurs.
Here's a zoomed in view of gold. This is just to outline some trendlines. I think the final decision here will come down to what the dollar decides to do. There is a tightening wedge forming, so this decision could be forced to be made soon as gold will have to finally decide which direction it will go for the next 2-3 weeks. Be careful of dangerous bull/bear traps here.
Oil is looking more positive, imo. The MACD is about to show a buy signal on the daily. Pay close attention to the circled candles. The large down day was completely negated the next day by the same amount of upside. This is a good indicator of a bottom. Also, notice how oil has tried to break out 3 different times but the 50 DMA has served as resistance. Once this 50 DMA is crossed, it should serve as a very strong support level because of these attempts. RSI could give buy signal within a day or two with continued upside.
Outlook:
Markets are still indecisive. I believe metals hinge on dollar action. Oil has seemed to show strength which should be a good sign as we move forward. It may lead metals out of the bottom.
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