As expected, gold moved to the upside and was able to reach areas above 1556.00 resistance areas. Currently, the metal returned to hover around 1549.00, the completion levels for the Gartly pattern, and stability above this level supports the upside tendencies to test areas around 1562.00-1565.00 where the harmonic bat pattern will complete. We should observe gold closely when reaching those areas, as the bat pattern is bearish in this case. Our upside expectations for today depend on stability above 1537.00.
The trading range for today is among the key support at 1522.00 and key resistance now at 1575.00.
The short-term trend is to the upside targeting 1600.00 per ounce as far as areas of 1430.00 remain intact.
|Recommendation||Based on the charts and explanations above our opinion is buying gold around 1545.00 and take profit in stages at 1556.00 and 1564.00 and stop loss with daily closing below 1537.00 might be appropriate|