Technical Analysis and Chart Setups:
Gold charts are giving much more clarity here. Please observe that prices have just bounced off:
1) The short-term support trend line.
2) Fibonacci 0.618 support level of the latest upswing from 1730/40 to 1795.00.
In the light of that this trend line remains intact, gold should be heading towards fresh highs from here. Yesterday, the structural expectations were a break down of the trend line support and further down towards 1740 level, but till now the prices seem to have held well above the trend line around 1760 level. Till the time prices remain above the trend line support, they are more probably heading to the north. In the respect to the above setup, it is recommended to look for buying opportunities.
Trade Recommendations:
Exit short positions, go long now, stop at 1725, target open.
Good Luck!
