Weekly Report 29/03 -02 / 04 / 2010
Gold is moving inside our captured bearish channel, which organizes the downside movements of the bearish harmonic butterfly of the weekly basis. Therefore, the negative overview is still unchanged for this week. Assessing the intraday outlook, the four-hour chart has formed a dark cloud-reversal candlestick- accompanied by negative crossover on Stochastic that is suppose to push the metal downwards. Only a break of 1144.00 can change the negative scenario.
The trading range for this week is among the key support at 1045.00 and key resistance now at 1162.00.
The general trend over short term basis is to the downside, targeting 1025.00 per ounce as far as areas between 1225.00 and 1249.00 remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, selling gold from 1109.00 targeting 1058.00 and stop loss above 1162.00 might be appropriate.|