Gold has approached our yesterday's detected technical objective point at 1082.00, where it started to retrace to retest the broken psychological level of 1100.00. The secondary hourly chart shows an obvious bearish candlestick formation alongside negative signs appearing on CCI and Stochastic. Therefore we keep our outlook to the downside on intraday basis, targeting 1048.00 over short term basis-the technical target of bearish harmonic AB=CD pattern.
The trading range for today is among the key support at 1048.00 and key resistance now at 1144.00.
The general trend is to the upside as far as 865.00 remains intact with targets at 1249.00.
|Recommendation||Based on the charts and explanations above our opinion is, selling gold from 1097.00 targeting 1075.00 and stop loss above 1113.00 might be appropriate.|