Spot Gold fell just short of 1656/57 resistance where we expected a top. We have now retested the 1641/39 support & bounced as hoped, so we have a small bottoming pattern which should push us higher in to the end of the week. First target is 1649/50 then yesterday’s high at 1653.
Above here today we look for a test of 1656/57 resistance & a high for the day. However a break higher tomorrow is possible for 1661. A push above here then targets 1666 resistance & a selling opportunity.
1641/39 is good support & we may bounce from here again today but a break signals a move to 1635, possibly a test of December lows at 1627/26.
Long term levels
1754.46 Nov High
1723.45 Dec High
1709.09 100 Day Moving Average
1696.20 Jan High
1684.87 Last Week’s High
1672.69 Nov Low
1662.01 Last Week’s Low
1650.60 100 Week Moving Average
1635.75 Dec Low
The article was first published by DayTradeIdeas.com