SINGAPORE: Spot gold may break a support at $1,985 per ounce and fall towards $1,975, driven by a wave c. The metal has dropped below a wedge, which proved to be top pattern, suggesting a target around $1,947.

Wave pattern indicates the progress of a wave c from $2,047.99.

A projection analysis on this wave marks various supports and resistances.

Spot gold may end bounce around $2,020

The 100% level of $1,975 serves as a realistic target. A bounce from the current level may be limited to $2,003. On the daily chart, a deep correction is extending towards a range of $1,939 to $1,963.

A retracement analysis on the uptrend from $1,613.60 indicates a lower target zone from $1,843 to $1,897.