Gold has soared, closing above the previous detected soft technical target of the internal fifth wave of our caught IM -impulsive wave- discussed in details in the weekly report. Henceforth, we classify the bounce from 1815.00 zones to the current trading areas as preparation to continue moving higher over upcoming period. Stochastic is presently achieving a positive crossover despite approaching overbought areas; whilst AROON reflects the strength of the bullish trend. Only a break of 1755.00 delays the highly anticipated bullishness. Technical targets are seen around 1888.00 according to Fibonacci rules.
The trading range for today is among the key support at 1735.00 and key resistance now at 1830.00.
The general trend over the short term basis is to the upside, targeting $ 1888.00 per ounce as far as areas of 1475.00 remain intact with weekly closing.
|Recommendation||Based on the charts and explanations above our opinion is, buying gold around 1782.00 targeting 1820.00 and stop loss below 1754.00 might be appropriate.|