Overview
According to the shown H4 chart, gold breached 61.8% Fibonacci at 1,136.00 making bulls target 78.6% Fibonacci at 1,160.00. The price showed a clear positive trading yesterday and settled above the main bearish channel's resistance at 1,140.00 in order to attack it. This hints at a potential turn in the short-term trend to the upside. Therefore, we prefer staying aside temporarily in order to monitor the price behavior according to the key levels represented by the 1,130.60 support and the 1,150.56 resistance. Note that breaking this support will push the price to the bearish trend, which targets begin at 1,098.40 and extend to 1,046.20. However, a break of the resistance will be a positive factor targeting 1,182.80 and 1,200.00 in extension. This break will confirm continuing gains on the longer-term basis.
The expected trading range for today is between the 1,120.00 support and the 1,160.00 resistance.
