Finally, gold inclined supported by stability above 1624.00 and trading outside the descending channel and also by the formation of the CD leg of the harmonic pattern. Consolidation above 1654.00 might weaken the effect of momentum indicators as shown above; while consolidation above this level might support the upside move to extend during the session today. Consolidation above 1624.00 is necessary for the upside move, but over intraday basis consolidation above 1638.00 is much better.
The trading range for today is among the key support at 1608.00 and key resistance now at 1700.00.
The short-term trend is to the upside with steady weekly closing above 1475.00 targeting 1945.00.
***New York Candlesticks***
|Recommendation||Based on the charts and explanations above our opinion is buying gold around 1645.00, targeting 1681.00, 1694.00 and 1700.00 and stop loss with 4-hour closing below 1638.00 might be appropriate.|
Technical analysis for precious metals with major support and resistance levels and recommendations for 18-08-2009