Gold Technical Precious Metals (2011-11-23)

By @ibtimes on

Morning Report

Gold has bounced from 61.8% Fibonacci retracement of CD leg for our caught bearish harmonic AB=CD pattern, but the closing was achieved below SMA 100-colored in blue- as seen on the provided daily chart. We should witness stability below 1703.00 zones once again to make sure that the first extended technical target at 76.4% level. Anyway, yesterdays' recovery didn't change the bearish direction started at 1800.00 areas but it created a positive crossover on Stochastic and that is why we need to see the metal breaching through the pivotal support of 1703.00 to negate the aforesaidsign.

The trading range for today is among the key support at 1627.00 and key resistance now at 1765.00.

The general trend over the short term basis is to the upside, targeting $ 1945.00 per ounce as far as areas of 1475.00 remain intact with weekly closing.

Previous Report

Weekly ReportSupport1703.001695.001687.001679.001665.00Resistance1715.001728.001735.001745.001753.00RecommendationBased on the charts and explanations above our opinion is, selling gold with a breakout below 1703.00 targeting 1650.00 and stop loss above 1735.00 might be appropriate.

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