Despite the heavy fluctuations yesterday, gold still managed to rise towards 1161.00 and today returned to decline. The downside move did not extend beyond 1144.00, which represents the risk limit for Elliot proposed scenario. Trading above the mentioned support will keep the upside direction valid targeting areas between 118.00 and 1183.00; we recommend reading the weekly report to explain the set targets.
The trading range for today is among the key support at 1132.00 and key resistance now at 1183.00.
The short term trend 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 buying gold from 1153.00 targeting 1180.00 and stop loss below 1132.00 might be appropriate|