Technical outlook and chart setups:
Gold is seen to be testing recent lows around $1,196.00/1,120.00 levels as seen on the daily chart view. The metal is preparing for an extended rally towards $1,400.00 levels in the sessions to come. Bulls are poised to remain in control till prices stay above $1,190.00 and subsequently $1,170.00 levels respectively. It is hence recommended to remain long with risk at $1,170.00 for now. Also note that $1,190.00 is the fibonacci 0.618 support of the rally between $1,130.00 and $1,307.00 respectively, which is holding well. Immediate support is seen at $1,170.00 levels while resistance is seen at $1,240.00/50.00 and higher respectively.
Trading recommendations:
Remain long, stop at $1,170.00, a target is open.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com
