Gold is still highly demanded as safe haven after uncertainties still evolves on EUR and GBP collapse. The precious metal rallied also rallied after U.S equities collapsed ( Dow - SNP ) two weeks ago.
Technically, gold started diverging on RSI and MACD wave one indicating end of bearish cycle is ending.
Wave three broke resistance trend line and 200-EMA also volumes were unusual.
At wave five, we are in a sideways market inside contracting triangle.
We have two scenarios, either will make a zigzag correction ABC and retrace to 1215 or 1210+ 50% retracement then resume up.
The second scenario is that we are in ABCDE triangle continuation patter should follow as an upside breakout targeting 1235 and 1245.
I suggest ABC correction towards 1215 or 1212 considering that we have strong bearish candlesticks pattern. After that we should resume up.
Entry levels: at current price or 1215 1212
TP: 1222 - 1228 - 1235 - 1245+/-
SP: 1207
Technically, gold started diverging on RSI and MACD wave one indicating end of bearish cycle is ending.
Wave three broke resistance trend line and 200-EMA also volumes were unusual.
At wave five, we are in a sideways market inside contracting triangle.
We have two scenarios, either will make a zigzag correction ABC and retrace to 1215 or 1210+ 50% retracement then resume up.
The second scenario is that we are in ABCDE triangle continuation patter should follow as an upside breakout targeting 1235 and 1245.
I suggest ABC correction towards 1215 or 1212 considering that we have strong bearish candlesticks pattern. After that we should resume up.
Entry levels: at current price or 1215 1212
TP: 1222 - 1228 - 1235 - 1245+/-
SP: 1207