Gold starts the week with a gap up and hits as high as 1588.51 so far. Further rise is in favor for the near term to retest 1611.37 high. At this point, we don’t rule out that case that 1611.37 is a medium term top. It could be formed after rise from 1160.17 completed a five-wave sequence on bearish divergence condition in daily MACD. Hence, we’d be cautious on topping signal below 1611.37. Break of 1556.52 support will extend the correction from 1611.37 with another leg down. However, decisive break of 1611.37 will resume the medium term up trend instead.
