GOLD
Spot Gold stands at the back foot on Wednesday, following limited recovery after strong fall previous day, which hit new three-week low at $1320. Bearish outside day on Tuesday was negative signal and bear-leg from $1366 (25 Jan peak) could extend towards next target at $1316 (Fibo 38.2% of $1236/$1366), as daily techs are bearishly aligned. Performance of global stocks, as the source of recent turbulent movements in the markets, remains in focus. Further recovery of stock prices could pressure gold price for stronger retracement of $1236/$1366 rally. Completion of asymmetric H&S pattern on daily chart was strong bearish signal which could be boosted by break below $1316 Fibo support for extension towards $1301 (50% of $1236/$1366/55SMA) and $1293 (100SMA) in extension). Broken 30SMA marks initial barrier at $1328, with extended upticks expected to stay below $1337 (broken 20SMA) to keep bearish near-term structure intact.
Res: 1328; 1332; 1337; 1340
Sup: 1322; 1320; 1316; 1308
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