SINGAPORE: Spot gold may retest a resistance at $1,867 per ounce, a break above which could lead to a gain to $1,879.

The metal failed to break the resistance at $1,867 again.

The correction triggered by the resistance is supposed to be much shallower than the one from the May 24 high of $1,869.49.

The correction seems to have completed, after gold stabilized around the support at $1,848.

Spot gold may test resistance at $1,879

Wave pattern suggests the progress of a wave c, which is expected to travel to $1,911.

A break below $1,848 could cause a fall into $1,828-$1,840 range.

On the daily chart, a bullish flag has been confirmed, suggesting a target of $1,917.

The drop on June 3 is classified as a pullback towards this flag.

The target of $1,917 remains intact. Only a further drop to $1,837 could make this target doubtful.