Technical outlook and chart setups:
Gold produced a pin bar candlestick pattern in the daily chart yesterday. The metal is trading around the levels of $1,190.00/91.00 now looking for an opportunity to drop lower to at least the area around $1,140.00, which is also the backside of resistance-turned-support trend line. Please also note that a Fibonacci 0.50% support is also passing around $1,138.00, which should provide a bounce. It is hence recommended to be short now (aggressive setup) with stop above the level of $1,200.00. Immediate support is seen at $1,160.00, while resistance is seen at $1,210.00. Bears are expected to regain control from here on.
Trading recommendations:
Remain short with stop at $1,203.5, a target is at $1,140.00.
Good luck!
