Morning Report

Gold declined obviously yesterday, but it is currently hovering around 1455.00. In fact, there are signs of bearishness appearing on momentum indicators but we don't believe that will change the uptrend as the price is stable above 127.2% Fibonacci of CD of our harmonic butterfly pattern and that may assist it to complete the AB=CD pattern. Consequently, we keep our bullish scenario intact, noting that there is a chance for achieving more fluctuation and bearish correction.

The trading range for today is among the key support at 1424.00 and key resistance now at 1500.00.

The general trend over the short term basis is to the downside, targeting $ 1208.00 per ounce as far as areas of 1500.00 remain intact.

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Weekly Report

RecommendationBased on the charts and explanations above our opinion is, buying gold around 1455.00 gradually targeting 1474.00 followed by 1495.00 and stop loss with a four hour closing below 1438.00 might be appropriate.