Comex Gold (GC)
Gold dipped to 1305.5 last week but recovered quickly after drawing support from 1306.0. Initial bias is neutral this week first and the larger rise from 1045.4 might still extend. In that case, we’ll be cautious on topping around long term fibonacci level at 1380.98. Decisive break of 1306.0 will be the first sign of trend reversal and will turn focus back to 1199.0 support
In the bigger picture, price actions from 1045.4 are seen as developing into a sideway consolidation pattern. In case of stronger rise, we’d expect strong resistance from 38.2% retracement of 1923.7 to 1045.4 at 1380.9 to limit upside. Meanwhile, downside attempts should be contained above 1045.4 low. Nonetheless, sustained break of 1380.9 will open up further rally to 61.8% retracement at 1588.2.
In the long term picture, current development suggests that gold would consolidate above 1045.4 medium term bottom for a while. Nonetheless, a the fall from 1923.7 is seen as a long term correction. We’d still favor another decline into 681/1033.9 support zone, with 61.8% retracement of 253.2 to 1923.7 at 891.3 inside. Nonetheless, sustain break of 1380.9 fibonacci level will suggest that price action from 1923.7 are developing into a sideway pattern instead.
Comex Gold Continuous Contract 4 Hours Chart
Comex Gold Continuous Contract Daily Chart
Comex Gold Continuous Contract Weekly Chart
Comex Gold Continuous Contract Monthly Chart