Technical outlook and chart setups:
Gold is seen to be trading around the $1,172.00 levels for the moment, still being well below initial resistance at the $1,180.00 levels. If the yellow metal holds the $1,180.00 levels, the next leg should be lower towards $1,138.00. Please note that the drop would still be considered to be corrective and will provide a better opportunity to initiate fresh long positions. It is hence recommended to remain flat for now and look to buy lower. Immediate support is seen at the $1,150 levels, followed by $1,130.00, $1,100.00 and lower, while resistance is seen to be at the $1,180.00 levels, followed by $1,190.00, $1,230.00 and higher.
Trading recommendations:
Remain flat for now and look to buy around $1,137.00.
Good luck!
