Comex Gold (GC)
A temporary low is in place in gold at 1321.9 and intraday bias is neutral for the moment. Some consolidations might be seen first. But even in case of strong recovery, upside should be limited by 61.8% retracement of 1424.4 to 1321.9 at 1385.2 and bring another fall. As noted before, prior break of 1329 support was taken as an important signal of medium term reversal. Below 1321.9 will bring another fall and sustained trading below 1329 will pave the way to 1155.6/1266.5 support zone next.
In the bigger picture, the case of medium term reversal is building Gold might have failed two important projection target, 161.8% projection of 931.3 to 1227.5 from 1044.5 at 1449.6 and 100% projection of 253 to 1033.9 from 681 at 1462. A medium term top could be in place at 1432.5 on bearish divergence in daily MACD and RSI. Decisive break of 1329 support will confirm this case and also indicate that whole up trend from 681 (2008 low) has completed a five wave sequence. In such case, deeper decline should be seen back to 1044.5/1227.5 support zone at least.
Comex Gold Continuous Contract 4 Hours Chart
Comex Gold Continuous Contract Daily Chart