Gold was biased to the upside slightly affected by profit taking after the stability above the target for AB=CD harmonic pattern resembled by the 61.8% correction at 1380.00. Nonetheless, this pattern is still valid and we believe that further bearishness might be seen if gold failed to stabilize above 1400.00-143.00; breaching 1376.00 might extend the bearishness. The current upside move might be to continue the formation of a head & shoulders pattern which will be completed with the breach of 1380.00 then the mentioned support.
The trading range for today is among the key support at 1330.00 and key resistance now at 1430.00.
The short term trend is to the downside targeting 1208.00 per ounce as far as areas of 1465.00 remain intact.
|Recommendation||Based on the charts and explanations above, our opinion is selling gold from 1400.00 targeting 1330.00 and stop loss with four-hour closing above 1430.00 might be appropriate|