Spot gold looks shaky around $1,870; pullback likely
- For a few times, gold failed to overcome this barrier
SINGAPORE: Spot gold looks shaky around a resistance at $1,870 per ounce, it may retrace towards $1,845.
For a few times, gold failed to overcome this barrier.
A decent correction could be due. The slow rise over the past two trading sessions have been shaped into a rising wedge, which looks like more a top pattern than a continuation pattern.
A break above the resistance could lead to a gain into $1,876 to $1,883 range. On the daily chart, the current rise is considered as a continuation of the uptrend from $1,677.61.
Spot gold to retest $1,870; uptrend firm
The trend is riding on a wave (c), which is capable of extending to $1,916.40.
However, gold seems to be struggling around a resistance at $1,862.
It may be preparing a pullback towards a falling trendline.
Without this pullback, the rise simply looks unhealthy.
The longer gold hovers around $1,862, the more likely it pulls back towards $1,828.
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.
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