Violet lines- Fibonacci retracements
Quiet day for Gold today as traders 'digest' yesterday's volatility spike and the sharp sell off that brought Gold price from $1,850 to $1,810. Gold price has so far retraced almost 38% of the entire decline from $1,959. So far Gold price holds above the recent lows at $1,804. The deep pull back from $1,850 leaves very few hopes for bulls to reclaim $1,850. But as long as price respects $1,804, bulls continue to hope for a bigger bounce towards the 50% retracement. By the end of the week we will get important macroeconomic news for the US Economy that will affect Fed policy and strategy, and in consequence Gold price. Volatility is expected to rise.
