Comex Gold (GC)
Gold's rebound from 1309.1 extends further to as high as 1388.9 so far today and took out 61.8% retracement of 1424.4 to 1309.1 at 1380.4 firmly. Further would remain in favor as long as 1354.3 support holds, towards 1424.4/1432.5 resistance zone. Nevertheless, the choppy nature of the current rise indicates that it's corrective in nature. Hence, we'd expect upside to be limited below 1432.5 high and bring another fall. Consolidations from 1432.5 should continue with another fall to retest 1300 level before completion. On the downside, below 1354.3 will indicate that rebound from 1309.1 has completed and turn bias back to the downside.
In the bigger picture, current development suggests that a medium term top is in place at 1432.5 after gold 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. Note that whole up trend from 681 (2008 low) might have finished a five wave sequence too. Hence, decisive break of 1432.5 is needed to confirm up trend resumption. Otherwise, even in case of strong rebound, we'd expect another fall to extend the consolidation/correction from 1432.5, possibly towards 1044.5/1227.5 support zone.
Comex Gold Continuous Contract 4 Hours Chart
Comex Gold Continuous Contract Daily Chart