GOLD: Vulnerable To The Downside
GOLD: GOLD remains vulnerable to the downside having continued to maintain below the 1,345.28 level. We believe its present bear threat is temporary suggesting it will fade and return to mentioned level. However, it will have to retake the mentioned level to annul its present bear threats. Further out, resistance resides at the 1,400.00 level. Additionally, resistance stands at the 1,450.00 level, its psycho level and possibly higher towards the 1,480.00 level. Conversely, the risk to this analysis will be a return to the 1,300.00 level where bulls may come in. But if taken out, further decline is likely towards the 1,300.00 level. We expect that level to hold and turn the pair higher. However, if this fails to occur, expect more weakness to happen towards the 1,231.48 level. Further down, support comes in at the 1,218.35 level, representing its Jan 08’2014 low. All in all, GOLD remains biased to the upside in the medium term.
Article by www.fxtechstrategy.com