SINGAPORE: Spot gold may break a resistance at $1,751 per ounce, and rise into a range of $1,763-$1,773.
The long duration of the bounce from the July 6 low of $1,731 suggests the completion of a small five-wave cycle from $1,814.
The metal may bounce towards the range of wave 4 which is from $1,763 to $1,773.
Support is at $1,737, a break below which may signal the continuation of the downtrend towards the zone of $1,711-$1,721.
On the daily chart, the downtrend within a bigger channel remains steady.
Spot gold may retest support at $1,728
However, the small doji on Thursday signals a temporary stabilization of the price and a slow bounce to follow.
The trend could eventually extend to $1,680, as pointed by the channel.
A decent bounce may only occur in the support zone of $1,680-$1,684.
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