Morning report

In addition to our previous explained short term Elliott cycle-check it here-, gold is forming a bearish butterfly pattern as seen on the provided four-hour chart. It's battling the golden ratio of 161.8% Fibonacci at 996.00 while the indicators show negative signals; in particular, the negative divergence appearing on Stochastic. Therefore, the bearish scenario is still in favor on the intraday basis.

The trading range for today is among the key support now at 942.00 and key resistance now at 1035.

The general trend is to the upside as far as 820.00 remains intact with targets at 1035.00 and 1060.00.

Support992.00984.00977.00973.00966.00
Resistance1000.001006.001015.001025.001035.00
RecommendationBased on the charts and explanations above our opinion is, selling gold from 998.00 targeting 984.00 and stop loss above 1008.00 might be appropriate.