Gold is inclining above the first potential reversal zones of the harmonic formation at 1413.00. It succeeded in recording a new all-time high and that is why we discussed the danger of clearing 1413.00 zones. According to this harmonic pattern which is forming its CD leg with more than one possibility of drawing a reversal point; our outlook will be neutral over intraday basis to get more confirmation. Overbought signs that appear on momentum indicators prevent us from suggesting a bullish direction and at the same time, the probabilities of our caught harmonic formation prevent us from keeping the negative outlook intact and that is the main reason behind our neutrality.
The trading range for today is among the key support at 1376.00 and key resistance now at 1385.00.
The general trend over the short term basis is to the downside, targeting $ 1208.00 per ounce as far as areas of 1485.00 remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, cancelling out yesterday's expectations, mentioned in midday report and staying aside until a clearer sign appears to pinpoint the upcoming big move.|