The negative crossover which appears on Stochastic of the daily chart-secondary image- could assist the metal to achieve our bearish technical speculation. The negative scenario is based on the suggested Elliott count as three internal waves are awaited to be activated to the downside to form B wave. To recap, possible bearishness could be witnessed over intraday basis.
The trading range for today is among the key support at 1165.00 and key resistance now at 1220.00.
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.
|Recommendation||Based on the charts and explanations above our opinion is, selling gold with a breakout below 1194.00 targeting 1173.00 and stop loss above 1211.00 might be appropriate.|