Yesterday's caught negative divergence has been limited at the pivotal support of 1703.00 which the metal couldn't breach and thus, our suggested recommendation wasn't activated. The violent incline occurred later has taken gold above the key resistance of 1740.00, but Stochastic also was taken to the overbought areas. Thus, a bearish crossover was achieved as seen on the provided four-hour graph preventing us from suggesting more incline. Consequently, we will stay aside until we result of the aforesaid negative crossover which contradicts the positivity of SMA 20 and SMA 50. A break of 1755.00 will assist the metal to neglect this bearish sign; whilst breaching 1740.00 will bring bearish actions over intraday basis.
The trading range for today is among the key support at 1673.00 and key resistance now at 1802.00.
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.
|Recommendation||Based on the charts and explanations above our opinion is, staying aside until an actionable setup presents itself to pinpoint the upcoming big move.|