Overview

Gold price is riding a bullish bias after 23.6% Fibonacci correction level has formed solid support at 1,321.49 which followed recent negative moves. The metal is likely to return to the bullish trend, but we notice that stochastic loses its positive momentum clearly, while the EMA50 is generating negative pressure. Therefore, we prefer staying aside for a while until we get a clearer confirmation signal for the next trend. We are waiting until one of the key levels represented by 1,321.49 support and 13,44.00 resistance is breached to determine the next target. Please note that breaking the mentioned support will push the price to extend its bearish correction towards 1,299.20 directly, while breaching 1,344.00 will stop the correctional bearish pressure and lead the price to regain the main bullish trend again. The expected trading range for today is between 1,315.00 support and 1,350.00 resistance.