The precious metal is looking to reverse the recent sharp declines. Prices closed almost flat on Thursday. Thus a follow-up bullish close on Friday could see some near-term gains being made.
But the correction could hit the resistance level near the 1911.50 – 1900 region. Only a strong breakout above this level could confirm further gains to the upside.
If gold prices reverse near this resistance level, then we could expect further declines in the near term.
However, this is subject to prices breaking past the current lows formed near 1850 region.
