Morning report

We believe that, gold is currently forming the fifth wave for the upside rally that started at 1026.00 as seen on the provided four-hour chart. This allover impulsive short term Elliott wave is presently targeting the pivotal resistance level of 1172.00, but a slight correction is needed towards 1158.00-1160.00 zones before resuming this potential bullishness over the intraday basis.AROON supports this intraday overview.

The trading range for today is among the key support at 1104.00 and key resistance now at 1212.00.

The general trend is to the upside as far as 865.00 remains intact with targets at 1212.00.

RecommendationBased on the charts and explanations above our opinion is, buying gold at 1160.00 targeting 1172.00 and stop loss below 1152.00 might be appropriate.