Technical outlook and chart setups:
Gold formed a bearish evening star candlestick pattern on the daily chart yesterday and continues to print lower lows today. The metal is trading at $1,232.00/33.00 levels at the moment and is expected to hit $1,140.00 levels in the coming sessions as depicted here. Please also note that the backside of the trendline which is support now, is also around the same region. It is hence recommended to remain short for now, with risk around $1,270.00 levels. Bears are expected to remain in control till prices stay below $1,262.00 levels from here on. Immediate resistance is seen at $1,262.00 levels, while support is at $1,207.00 levels.
Trading recommendations:
Remain short for now, stop at $1,270.00, target is $1,190 and $1,140.
Good luck!
