In spite of the upside move seen, but we still don't expect the extension of this move especially when Stochastic is within overbought areas and EMA 50 represents a strong barrier facing the move. As shown above on the chart, we explain the bullish 0-5 harmonic pattern, but the CD leg didn't confirm its completion as the metal didn't reach 1656.00, which is the ideal barrier for the pattern to be completed. Therefore, we expect the metal to reverse to the downside to complete the downside movement, but a breach of 1700.00 is necessary to support our expectations. Consolidation above 1727.00 weakens our expectations.
The trading range for today is among the key support at 1657.00 and key resistance now at 1740.00.
The short-term trend is to the upside with steady weekly closing above 1475.00 targeting 1945.00.
***New York Candlesticks***
|Recommendation||Based on the charts and explanations above our opinion is selling gold below 1700.00, and take profit in stages at 1657.00 and stop loss with 4-hour closing above 1727.00 might be appropriate.|