Gold seems to have formed an interim higher low at $1,250.00/51.00 as expected after bouncing off from Fibonacci 0.382 support at $1,240.00. The metal is seen to be trading at $1,260.00 for now, looking to accelerate higher towards $1,300.00/10.00 levels. The wave structure also indicates that the counter trend rally can terminate around the past support turned resistance zone at $1,310.00 levels, which is Fibonacci 0.50% of the entire drop between $1,375.00 and $1,240.00 levels as depicted here. Additionally, the broken support trend line is expected to act as resistance now around the same levels. It is recommended to remain flat and look for selling opportunities around $1,300.00/10.00 levels again, while aggressive traders should look to go long with risk below $1,240.00. Immediate resistance is now seen at $1,305.00/10.00 levels, while support lies at $1,240.00 levels.
Trading recommendations:
Remain flat for now. Aggressive traders are long now with stop at $1,240.00, targeting $1,310.00.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com Source: Instaforex.com
Technical outlook and chart setups:
Gold seems to have formed an interim higher low at $1,250.00/51.00 as expected after bouncing off from Fibonacci 0.382 support at $1,240.00. The metal is seen to be trading at $1,260.00 for now, looking to accelerate higher towards $1,300.00/10.00 levels. The wave structure also indicates that the counter
trend rally can terminate around the past support turned resistance
zone at $1,310.00 levels, which is Fibonacci 0.50% of the entire drop between
$1,375.00 and $1,240.00 levels as depicted here. Additionally, the broken
support trend line is expected to act as resistance now around the same levels. It is
recommended to remain flat and look for selling opportunities around $1,300.00/10.00 levels
again, while aggressive traders should look to go long with risk below
$1,240.00. Immediate resistance is now seen at $1,305.00/10.00 levels, while
support lies at $1,240.00 levels.
Trading recommendations:
Remain flat for now. Aggressive
traders are long now with stop at $1,240.00, targeting $1,310.00.
Good luck!
The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com
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