Technical outlook and chart setups:
The metal has crashed down towards the 0.5 Fibonacci support levels of the rally between 680.00 to 1,900.00 level on the weekly chart depicted here. As seen here, a Fibonacci convergence is seen around 1,270/80 levels, which can produce a bullish bounce/reversal. If not at current levels, the metal is poised to form base around 1,150.00 level, which is the 0.618 Fibonacci support level of the entire rally. It is recommended to remain flat for now and await a bullish reversal signal on a 4H or Daily chart to enter long positions. Aggressive traders may go short on a break of 1,270.00 level with risk above 1,302.00.
Trading recommendations:
Flat for now. Looking to buy on bullish bounce.
Good luck!
