Technical outlook and chart setups:
Gold stalled at the $1,240.00 level yesterday. A weekly chart view depicted here indicates that the yellow metal could be now poised to form yet another low around the $1,225.00 level or at the consolidating line of support line passing around the $1,184.00/85.00 levels as seen here. It is still recommended to look for lower levels to initiate long positions rather than going aggressively short for now. Please, also note that the entire cone structure shown here is into its 4th leg and a bullish bounce around lower boundary should be bought. Support is seen around the $1,225.00 level for now while resistance is seen at $1,272.00/73.00 levels.
Trading recommendations:
Remain flat for now, look for bottom formations at lower levels.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com
