Technical outlook and chart setups:
1. Gold has drifted sideways for a while now, and it is likely preparing to drift lower towards at least $1,295.00 levels before rallying further up. The metal is expected to test $1,315.00/16.00 levels before breaking below the $1,300.00 mark.
2. Support is seen at $1,295.00 (fibonacci), followed by $1,280, $1,260.00/40.00 and lower while resistance is seen at $1,324.00, followed by $1,340.00/50 and higher respectively.
3. The structure indicates that Gold could continue drifting lower for now, before rallying further up.
Trading recommendations:
Preparing to again go long again around the $1,295.00 mark.
Good luck!
