The resistance has been identified as the 61.8 percent Fibonacci retracement on the fall from the Sept. 8 high of $2,118 to the Oct. 2 low of $1,885. This resistance has triggered a shallow correction to the support at $2,002, the 50 percent level.
With the metal approaching $2,029 again, the uptrend seems to have resumed. A rise to $2,040 may signal a valid break above $2,029, and the next resistance at $2,063, the $76.4 percent level, will be targeted.
Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own.
No information in this analysis should be considered as being business, financial or legal advice. 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.