The yellow metal extended its 5-day winning streak yesterday. The FOMC meeting filled the downbeat yellow metal with life. The metal is trading at a 2-week high. After China's tepid PMI data, the metal was pushed to $1,185.60. The metal took the parallel support at $1,185.00 changing its direction. The metal took support twice at $1,185.00 at yesterday's session. The trading pattern has been framed between $1,195.00 and $1,185.00. The pair made a 12hr high at $1,194.60. We recommend fresh buying ONLY above $1,195.00 and selling below $1,185,00. Nothing changed in terms of the fundamental and technical outlook for gold. Only the US dollar is losing its strength. We can expect the metal to challenge towards $1,200.00 and $1,206.00, in case the price breaches above $1,195.00. Intraday support is found at $1,185.00. We recommend selling below $1,185.00 with targets at $1,179.00, $1,177.50, $1,173.00, and $1,167.00 with sl $1,188.00. Weekly support is seen at $1,1770.00 and $1,167.00. Ahead of US series of data, gold is trading on a lower bias. In case the data turns out above expectations, we can expect a USD rally and gold prices under pressure.
Trade: buying above $1,195.00.
Selling below $1,185.00.
The material has been provided by InstaForex Company - www.instaforex.com
