Yesterday's caught negative divergence has taken the metal sharply downwards, where it approached the detected technical target of 1127.00 as seen on the provided daily chart. Now, we see that the current inclines are just preparation for resuming the downside rally of the suggested Elliott count. Henceforth, possible bearish actions could be seen over intraday basis.
The trading range for today is among the key support at 1122.00 and key resistance now at 1174.00.
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.
Weekly Report Previous ReportSupport1137.001132.001127.001122.001117.00Resistance1144.001149.001152.001155.001158.00RecommendationBased on the charts and explanations above our opinion is, selling gold from 1144.00 targeting 1127.00 and stop loss above 1158.00 might be appropriate.