The precious metal posted declines right after hitting a 4-week high. Gold prices fell for a second consecutive day as it lost 0.45% on the day on Wednesday. However, price action remains largely flat in the medium to longer term horizon. This aptly reflects the broader market outlook which remains cautious.
Will Gold Maintain the Range?
Gold prices extended declines from the resistance level of 1320.81 as expected. Price action is currently attempting to post a reversal, just a few pips above the support area of 1306. The near term retracement could potentially push gold prices to correct the recent declines. However, this could keep the precious metal maintaining a sideways range within the said levels. A break below 1306 is required for further declines that could see price attempting to test the next lower target of 1290.
