Weekly Report 08 -12 / 01 / 2010

Gold succeeded in reaching the first detected technical objective at 1045.00 zones. Now, we believe that the pivotal resistance areas of 1074.00 could be retested before resuming the possible bearishness during this week. These potential downside actions are based on our Elliott count as the metal might complete the first corrective wave [A wave] at 1015.00 zones of the medium term basis. The secondary image of the candlestick formation supports this overview.

The trading range for this week is among the key support at 1000.00 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.

Previous Report

RecommendationBased on the charts and explanations above our opinion is, selling gold from 1074.00 targeting 1015.00 and stop loss above 1125.00 might be appropriate