- Immediate support is at $1,831.60, a break below which could cause a fall into $1,800-$1,818 range.
SINGAPORE: Signals are mixed for spot gold, as it is struggling around a falling trendline.
The reversal of the downtrend from the Jan. 6 high of $1,959.01 will only be confirmed when gold breaks the trendline.
The current sideways move could be interpreted as a pullback towards the trendline or a failure to break it.
A bullish target of $1,875 has been temporarily aborted. It will only be resumed when gold breaks $1,853.
Immediate support is at $1,831.60, a break below which could cause a fall into $1,800-$1,818 range.
On the daily chart, gold is biased to rise towards $1,859, the 38.2% projection level of a presumed wave c from $1,784.76.
This projection analysis reveals a key support at $1,831, which is almost identical to the one at $1,831.60 on the hourly chart.
As long as gold hovers above $1,831, it is likely to rise to $1,859. A break below this level could cause a fall towards $1,784.76.
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