- The uptrend from the Aug. 9 low of $1,684.37 has extended
SINGAPORE: Spot gold may test a resistance at $1,811 per ounce, a break above which could lead to a gain into $1,827-$1,837 range.
The uptrend from the Aug. 9 low of $1,684.37 has extended. It consists of five waves.
The wave (5) is unfolding towards $1,811.
A falling trendline establishes a resistance around $1,811.
A failure to break this line would not only cause a fall towards $1,785-$1,795 range, but also signal a continuation of the downtrend from the June 1 high of $1,916.40.
Signals on the daily chart support a break above the trendline, as gold has climbed above a resistance at $1,800, which is a also a psychological level.
Chances are the metal may rise more to $1,828.
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