Gold’s rebound lost momentum after hitting 1214.30 and retreated sharply. Nonetheless, it’s try to draw support from 4 hour 55 EMA. For now some consolidations would be seen below 1214.30 first. But downside of retreat should be contained above 1182.90 support to bring another rise.
Overall outlook is unchanged. 1160.26 is seen as a medium term bottom. The corrective rise from there should extend to 55 day EMA (now at 1228.18) and possibly above. But we’d expect upside to be limited by 38.2% retracement of 1365.25 to 1160.36 at 1238.62 to bring down trend resumption at a later stage.
