Gold has touched 200% Fibonacci of CD leg of the bearish harmonic AB=CD pattern and this level represents a potential reversal point for the pattern since BC represented a correction of 50% of AB. Thereby, there is a probability for achieving a reversal from the current levels or from 224% of BC leg at 1523.00. We should note that these levels are just potential reversal zones not confirmed and we need additional negative signs to confirm the reversal. As a consequence, we will stay aside until the pattern offers these PRZ.
The trading range for today is among the key support at 1474.00 and key resistance now at 1554.00.
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.
|Recommendation||Based on the charts and explanations above our opinion is, staying aside until a clearer sign appears to pinpoint the upcoming big move.|