Spot gold to fall more to $1,696/oz

SINGAPORE: Spot gold will fall to $1,696 per ounce, driven by a fierce wave "c" or wave (3).

A Fibonacci projection analysis of the wave "c" or the wave (3) points to $1,696, the 100 percent level, based on the length of the wave "a" or the wave (1) and the peak of the wave "b" or the wave (2) at $1,737.79.

Even if it's uncertain how far the current moderate rebound from Monday's low of $1,711.29 could reach, the metal is strongly expected to eventually drop below a support at $1,712, the 61.8 percent projection level.

No information in this analysis should be considered as being business, financial or legal advice. Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.