Gold finished bullish correction (regular flat) at $1.317.50 in the background and in our opinion, it should trade lower. We found hidden bearish divergence on the MACD oscillator, which is another sign of the weakness. The breakout of the key short-term support at $1.302.00 would confirm a downward movement. As long as Gold remains below the resistance at $1.318.00, the trend is bearish.
R1: $1.321.85
R2: $1.328.55
R3: $1.355.45
Pivot: $1.315.00
S1: $1.308.25
S2: $1.301.40
S3: $1.294.65
Trading recommendation: We are still bearish on Gold from $1.310.00 and we have placed our stop at $1.318.00.
The material has been provided by InstaForex Company - www.instaforex.com