- The metal may test the next support at $1,805, with a good chance of breaking below this level and falling towards $1,769.
SINGAPORE: Spot gold may retest a support at $1,832 per ounce, a break below which could cause a fall to $1,810.
The metal is riding on a wave C which may travel to $1,783, its 61.8% projection level. In addition to this set of projection levels, this wave also observes closely various retracements on the fall from $1,859.01 to $1,809.90.
The 14.6% retracement provides a temporary support which triggered a pullback towards a rising trendline. The pullback may end around $1,840.
A further gain above $1,853, however, could signal an extension of the uptrend from $1,809.90 towards $1,875.
On the daily chart, gold has more or less broken a similar support at $1,841, the 38.2% projection level of a downward wave C from $1,959.01.
The metal may test the next support at $1,805, with a good chance of breaking below this level and falling towards $1,769.
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