ALERT: Gold Broke Through This Red Line Today

This will get some attention in charts circles.

Gold — which got whacked after the FOMC announcement — fell below its 200 day moving average (the red line on the chart), which some will take to mean more pain to come.

Others will note that gold was below this level late last year and rebounded nicely.

chart

Photo: Stockcharts.com

What’s perhaps more interesting is not the technical stuff — which some people regard to be nonsense — but the fact that gold sold off after the Fed while stocks didn’t. That’s kind of weird, since you’d think that if gold were reacting to the lack of dovishness, then that would’ve hurt stocks too.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.

Tagged In

gold moneygame-us