Gold - Bulls eye $1280 target and may extend to $1292, double-Fibonacci resistance
|GOLD
Spot Gold remains steady and holding under fresh recovery high at $1276, posted on Tuesday. Long bullish daily candle that was formed after yesterday’s rally and probe above near-term congestion tops, generated bullish signal for further recovery. The notion is supported by daily 10 / 20 SMA’s that turned into bullish setup and return above 200SMA.
Gold is eyeing strong barrier at $1280 (Fibo 38.2% of $1343/$1241 descend), break of which may trigger fresh bullish extension towards next strong barrier at $1292 (double Fibonacci resistance – 38.2% of $1375/$1241 descend and 50% of $1343/$1241 downleg).
However, risk of recovery stall remains in play, as gold is currently riding on the fourth (corrective wave of five wave cycle from $1352) which should ideally end at $1278, according to wave theory.
Return below higher base at $1260 (reinforced by daily Tenkan-sen line) is needed to confirm such scenario).
Res: 1276; 1280; 1287; 1292
Sup: 1269; 1266; 1260; 1256
Interested in Gold technicals? Check out the key levels
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