Technical outlook:
Gold had rallied towards $1,780 levels on June 24, 2020; before pulling back. The yellow metal had dropped to $1,747 levels and found support of a short-term trend line passing through. Gold is seen to be trading around $1,769 levels at this point in writing and it need to break below the trend line to turn bearish again. On the flip side, a break above $1,780 would push the metal towards $1,790/95 resistance. Gold has been rallying since last 13 months from $1,262 levels and should be very close to forming a meaningful top. It is better to avoid initiating fresh long positions and get into a bull trap, since upside remains limited towards $1,790/95 levels, going forward. Aggressive traders might want to sell with risk above $1,780 resistance.
Trading plan:
Aggressive traders remain short with stop @ 1,780, target is open.
Good luck!
