Gold succeeded in reaching our yesterday's defined technical objective of 1249.00, where we believe that the internal third wave of our suggested count has been placed. Therefore, the present downside actions should be seen as the correction or rather the 4th internal wave that might touch 1123.00-1126.00 before resuming the possible upside rally over intraday basis. Technical targets of the fifth wave reside at 1265.00 areas.
The trading range for today is among the key support at 1196.00 and key resistance now at 1265.00.
The general trend over short term basis is to the upside, targeting 1365.00 per ounce as far as areas of 1120.00 remain intact.
Weekly Report Previous ReportSupport1234.001226.001219.001216.001211.00Resistance1239.001249.001255.001260.001265.00RecommendationBased on the charts and explanations above our opinion is, buying gold from 1226.00 targeting 1255.00 and stop loss below 1205.00 might be appropriate.