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Markets

Spot gold may retest support at $1,810

  • The low at $1,764.29 may be revisited either this week or next week. A break above $1,839 could lead to a gain to $1,862. On the daily chart, gold is riding on a wave C from $1,959.01.
Published January 18, 2021

SINGAPORE: Spot gold may retest a support at $1,810 per ounce, a break below which could cause a fall to $1,791.

The support is provided by the 76.4% retracement of the uptrend from $1,764.29 to $1,959.01. The fall from $1,959.01 looks incomplete. It is categorized as a continuation of the preceding downtrend from the Aug. 7, 2020 high of $2,072.50.

The low at $1,764.29 may be revisited either this week or next week. A break above $1,839 could lead to a gain to $1,862. On the daily chart, gold is riding on a wave C from $1,959.01.

This wave may travel into a wide range of $1,651-$1,769, formed by its 100% and the 61.8% projection levels. After the moderate consolidation from the Jan. 11 low of $1,816.53, this wave may have resumed.

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.

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