08 July - 12 July Weekly View

Gold tested a low of 28465 (USD 1180.50) the week before, which we didn't see being tested again this past week despite major data releases which were expected to create some intense force to drive the price further down as it couldn't push upwards either prevented by solid 30590 (USD 1268.70) resistance level.

Outlook still remains Bearish and deeper fall is expected. But we must keep a note that Gold is now trading around very important support level zones 28935 (USD 1200), a psychological level and 27865 (USD 1155.70), 61.8 % retracement of 16420 (USD 681) to 46384 (USD 1923.70). This level is very important because this level may create a base and result a trend reversal, so, longer it takes to break this sort of levels, stronger they get.

Being said that, our immediate target for any downfall from the current price level, if happens, are these levels. If not, and price bounces back upwards, 30590 (USD 1268.70) is the first resistance the price will have to deal with. If the price convincingly breaks and closes above this level, then chances are immediate consolidation from previous weeks' fall would be in place expect the price to test higher levels at 31375 (USD 1301.24) and 31869 (USD 1321.72).

But still, a break of 36811 (USD 1526.70) is needed to signal reversal or the outlook will stay, any upside moves as correctives and the broader view Bearish :)