Gold is still preparing to activate the short term Elliott sequence as seen on the above four-hour chart which shows that the metal has build an impulsive wave which consists of 5 waves; we think that the [A-B-C] correction is under way, targeting the psychological level of 1000.00. Therefore, our outlook will be to the downside on the intraday basis, supported by the negative sign appearing on AROON indicator. Areas of 1062.00 should hold to confirm the count.
The trading range for today is among the key support now at 1006.00 and key resistance now at 1074.00.
The general trend is to the upside as far as 820.00 remains intact with targets at 1074.00.
|Recommendation||Based on the charts and explanations above our opinion is, selling gold from 1052.00 targeting 1037.00 and stop loss above 1063.00 might be appropriate|