Technical outlook and chart setups:
Gold has been trading below the recent highs made around $1,099.00 last week. The yellow metal has been trading around $1,077.00 levels for now and look still vulnerable to bears. Last week's rally was long, but that doesn't take the metal out of woods. A drop towards $1.030.00 and lower remains highly probable as the overall downtrend is still intact. It is hence recommended to initiate 50% short positions at current levels, with risk at $1,100.00. Immediate resistance is seen at $1,100.00, while support is found at $1.066.00 (interim) and lower. Bears should be poised to regain control till prices remain below the level of $1,099.00.
Trading recommendations:
Initiate short positions now ($1,077.00), stop is at $1,100.00, a target is open.
Good luck!
