GOLD confirmed last night a weak closing well below the low of the previous session supporting lower levels. A daily closing tonight below 1721,10 will confirm a top at 1767,10 suggesting a firm test of the key level at 1670,50!!
The indicators of the daily chart are now below the line as well as those of the s/t ones supporting lower levels. The decline is however already showing oversold conditions in the hourly chart as well as potential positive reversals and this could in the s/t limit the downside favouring even a rebound with the 200 hours line at 1725,00 the first attraction.
For this reason we suggest closing the shorts for now, but still avoiding a long position because we still expect GOLD to move lower. We prefer waiting for a decent rebound to go short again!!
We closed at 1714,90.
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FUTURE TREND RESEARCH