Technical outlook and chart setups:
Gold has been trading around the $1,201.00/1,207.00 region lately. As discussed earlier, the metal could be looking to retrace lower from here before rallying further up. A drop can be expected into the $1,175.00/80.00 region at least before the rally could resume towards fresh highs. The potential upside targets are $1,237.00 and $1,255.00 respectively. Immediate support is seen at $1,175.00 (fibonacci 0.618 support), followed by $1,142.00, $1,130.00 and lower while resistance is seen at $1,235.00, followed by $1,255.00 and higher up respectively. A rally higher should be favored, after a pullback though.
Trading recommendations:
Remain flat for now. Looking to enter long around $1,175.00/1,180.00.
Good luck!
