Gold tumbles sharply overnight in tandem with Dollar’s rebound. The development suggests that rebound from 1862.55 has completed at 2015.66. Consolidation pattern from 2075.18 should have started the third leg and deeper fall would be seen. Break of 1862.55 cannot be ruled out for the moment. But even in that case, we’d expect strong support from 61.8% retracement of 1670.66 to 2075.18 at 1825.18 to contain downside. Meanwhile, sustained trading back above 4 hour 55 EMA (now at 1971.82) would dampen this view and probably extend the rebound from 1862.55 instead.
