Gold tested 1757.00 where it failed to trade below 1755.00 level, we are still anticipating a breach below 1755.00 that may confirm the bearish effect of the AB=CD bearish harmonic pattern. The metal may be forming a descending triangle formation as well, suggesting more bearishness, a test of the descending resistance of this formation around 1785.00 followed by a reversal to the downside again to breach 1755.00 will confirm the bearish pattern and send the pair lower toward our suggested targets.
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 theupsidetargeting1945.00per ounce as far as areas of1475.00remain intact with weekly closing.
|Recommendation||Based on the charts and explanations above our opinion is, selling gold around 1775.00 targeting 1702.00 and stop loss above 1815.00 might be appropriate.|