Gold has been trading downwards as we expected. The Gold reached all three targets from yesterday. Still strong bearish momentum present but with the potential for balancing.
Our analysis from yesterday went perfectly and all three targets at $1.303.15, $1.298.90 and $1.293.00 were met. Momentum is still strong for downside but we would not advise you to sell anything at this point since we might see potential balancing or corrective rally. Also, there is the key short-term support at $1.280.50.
Trading recommendation: We closed our short position on Gold at $1.293.00 with the profit of 200 pips. We are neutral now but with the view that Gold may visit $1.280.50 in the next period.
The material has been provided by InstaForex Company - www.instaforex.com