SINGAPORE: Spot gold may retest a resistance at $2,032 per ounce, a break above which could lead to a gain to $2,045. The metal is assumed to be riding on a wave 5, which is supposed to travel above the peak of wave 3 around $2,032.

But this wave 5 may turn out to be a failed one as well if it keeps unfolding below $2,032.

A failed fifth wave will create a good chance for a double-top.

Key support is at $2,000, a break below which will be interpreted as the early sign of this top pattern.

On the daily chart, the metal failed again to break a resistance at $2,029.

The failure increases the chance of a correction towards $1,984.

Spot gold may test support at $1,963

Strategically, a break below $2,004 could confirm the target of $1,984.

As long as gold hovers above $2,004, it is highly likely to break $2,029 and climb into the range of $2,046-$2,069.