Gold is currently testing the intermediate resistance of its medium term bullish channel at 1,667 suggesting a decline. However, a break through these levels will allow it to reach the upper limit of its channel – 1,677.
Technical indicators do not give clear signals but are approaching the overbuy zone suggesting a decline.
According to previous events, the market will indicate a bullish opportunity as soon as gold will break through its resistance at 1,667 with the 1st objective of 1,677, and then of 1,680. A break of 1,665 will invalidate this scenario.
