Coming beneath SMA 50 along with yesterday's long black candlestick pattern-secondary image- added further strength to the bearish technical factors appearing on the weekly chart. The negative divergence is still pressuring the metal negatively, taking it to revisit the pivotal support areas around 1187.00-yesterday's detected technical objective-. More bearishness might be underway over intraday basis, initially targeting 1165.00 zones and might extend further towards 1155.00.
The trading range for today is among the key support at 1165.00 and key resistance now at 1226.00.
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 ReportSupport1187.001183.001176.001172.001165.00Resistance1198.001202.001209.001216.001219.00RecommendationBased on the charts and explanations above our opinion is, selling gold around 1198.00 targeting 1174.00 and stop loss above 1216.00 might be appropriate.