Technical outlook and chart setups:
Gold is consolidating in a cone formation, hitting resistance at $1,243.50 levels at the moment. The metal is expected to drop lower from here and break below $1,210.00 levels at least. Please note that a push below $1,210.00 levels would trigger further down side towards $1,190.00 and $1,170.00 levels respectively. Also note that strong support is seen at $1,167.00/68.00 levels, which is fibonacci 0.50% of its rally from $1,070.00 through $1,263.00 levels respectively. Hence it is recommended to remain short again now, with risk above $1,255.00 levels. Immediate support is seen at $1,210.00 levels while resistance is at $1,253.00 levels respectively.
Trading recommendations:
Remain short again, stop at $1,255.00, a target is $1,210.00 and lower.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com