At the moment Gold is testing the lower limit of its medium term bullish channel in 1645 indicating a possible rebound and reaching the upper limit of its channel 1673. However, a breakdown of these levels will reveal a large potential entailing a new trend.
Technical indicators provide signals for Sell-deals but approaching to the oversell zone points at possible rebound. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the beginning of a violent movement.
According to the previoussituation, the market indicates a bullish opportunity at the level 1645 with a 1st objectives 1655 and 1660. A breakdown of the level 1642 will cancell the prospect scenario.
