Gold miners Barrick Gold and H-share Zijin Mining are at or near prominent support levels. Critical question: Has their current week-week downtrend ended yet?
Zijin 2899 weekly chart 2009 – present
In both charts, there is a 104-week (2-year) moving average which price clearly reacts too.
A moving average is one of many technical studies to look at trend. It is not 100% accurate.
Since these are weekly charts, traders probably have plenty of time to look for confirmation, also from lower time frame price action and patterns.
I wrote about Barrick in May last year. Barrick traded downtrend between 2012 – 2015. A new 52-week high last year terminated to falling year- year sequence. Investors have to decide whether there is a bullish reversal chart pattern here.
Soh Tiong Hum is Director of TerraSeeds Market Technician Pte Ltd. TerraSeeds is a trading educator in Singapore since 2005.
Soh's Twitter account @sohtionghum was ranked #23 out of The Top 70 Twitter Accounts To Follow In 2015 by MahiFX.
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