Morning Report

The consecutive positive closing above the key resistance level of 1062.00 encourages us to keep our Elliott waves internal count as seen on the above four-hour chart which shows that, the price is forming [IM] wave, targeting the areas between 1074.00 and 1085.00. A break of which will take the metal towards 1129.00. Note that the overbought sign may cause some kind of aggressive corrective actions but AROON supports the bullishness. Hence, we change our intraday outlook to the upside.

The trading range for today is among the key support now at 1022.00 and key resistance now at 1100.00.

The general trend is to the upside as far as 865.00 remains intact with targets at 1129.00.

RecommendationBased on the charts and explanations above our opinion is, buying gold from 1064.00 targeting 1080.00 and stop loss below 1052.00 might be appropriate