SINGAPORE: Spot gold looks neutral in a range of $1,849-$1,869 per ounce, and an escape could suggest a direction.
The metal is riding on a wave C or wave 3, both of which are capable of travelling to $1,886 or $1,908, as they have extended above the 100% projection level of $1,851.
However, a retracement analysis suggests a completion of these waves, as the 23.6% level of $1,849 works precisely and effectively as a support.
A break below $1,849 could cause a fall into $1,817-$1,831 range while a break above $1,869 could lead to a gain to $1,886.
Spot gold may retest $1,849, pullback incomplete
On the daily chart, the bias seems towards the downside, as gold is struggling around a resistance at $1,862.
The drop on Nov. 16 looks too shallow to be a completed pullback towards a falling trendline.
Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.
Comments
Comments are closed.