Gold continued its stable incline above the previous broken resistance as seen on the provided daily graph. Actually, this incline is classified as a gathering momentum process since Stochastic is on its way to enter overbought areas sooner. In the interim, we can see the probability of forming a bearish harmonic AB=CD pattern with PRZ -potential reversal zones- at 1785.00 where the alternation between Fibonacci corrections may send the metal lower form 200% Fibonacci projection of BC leg.
The trading range for today is among the key support at 1695.00 and key resistance now at 1830.00.
The general trend over the short term basis is to the upsidetargeting 1945.00 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, selling rallies towards 1785.00 targeting 1705.00 and stop loss above 1830.00 might be appropriate.|