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29.10.2013 08:41 AM
Gold buy on dips. 1,280-1,300 remain best buy

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Technical outlook and chart setups:

Gold should be on the verge of a retracement now. Please refrain from long positions at the current levels. The metal needs to correct towards the 1,280-1,300 levels first, before rallying towards fresh highs. The longer-term structure might be unfolding as favoured to the bulls if 1,250.00 holds from here on. Immediate resistance is offered by the 1,370/75 levels, followed by 1,410 and 1,440.00; while support is at 1,250.00, 1,210.00, 1,180.00 and lower. 1,280/90 remain best buy for the confluence of fibonacci retracement, backside of trendline, which is now acting as support and a possible right shoulder formation.

Trading recommendations:

Look to buy lower.

Good luck!

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