Gold has stabilized above the initial resistance levels -turned into support- at 1665.00 and above SMA 50 as well. By examining the shorter time frames, we can see oversold signs appearing on their momentum indicators. Thus, some kind of fluctuation may occur and 1665.00 could be retested before achieving more upside actions over intraday basis. Our bullish scenario will not be changed unless the metal takes the weekly support at 1628.00. Ultimately, breaching 1779.00 will bring more buying interests towards 1703.00 followed by 1725.00.
The trading range for today is among the key support at 1628.00 and key resistance now at 1713.00.
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, buying gold around 1665.00 targeting 1725.00 and stop loss below 1628.00 might be appropriate.|