Technical outlook and chart setups:
Gold has finally dropped to our measured fibonacci support levels around $1,079.00/80.00 today. The metal is now expected to form bottom around current levels, and stage an extended rally towards $1,125.00 and $1,136.00 levels respectively. Please note that $1,079.00 levels is also the fibonacci 0.618 support of the entire rally from $1,057.00 to $1,113.00 respectively. Furthermore, note that the recent resistance has turned into support, this area is also around the same levels. A bullish reversal should be expected here and hence recommendations are to initiate fresh long positions with risk at $1,060.00 levels. Immediate support is seen at $1,060.00 levels, while resistance is seen at $1,107.00 levels respectively. Looking higher from current levels.
Trading recommendations:
Remain long from here, stop at $1,060.00, a target is open.
Good luck!
