Gold has extended its setback, removing both the 20-day average at 1377 and former price support at 1373. This leaves the immediate focus now on more important levels at 1352/49 – channel, price and 40-day average support at 1352/46 – which we would expect to support a rebound. Bigger picture, below here and 1337 – 38.2% of the June/August rally – would suggest the broader bear trend is resuming, for 1277/72. Resistance moves to 1400, but above 1415/17 to retarget the 1434 recent high. Above here would Look further strength to tougher resistance at 1463/1488 – channel and a cluster of retracement resistance.
Strategy: Short, stop above 1435. Take profit at 1280.
Strategy: Short, stop above 1435. Take profit at 1280.
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