Weekly View 02 Sept - 06 Sept

Gold's rebound from 28439 (USD 1179.80) extended to high as 34576 (USD 1434.00) so far. As long as the minor support of 32980 (USD 1367.80) holds, further rally is in favor. However, a strong resistance at level 35859 (USD 1487.20), the 50 % correction of 43355 (USD 1798.10) to 28439 (USD 1179.40) as well as late April/ early May high, may bring a reversal. Meanwhile, a break of previously mentioned 32980 and 32551 (USD 1350.00) level will indicate that a short term top is formed should at least be pulling back to 30682 (USD 1272.50) support zone.

In the bigger picture, gold found support at 28437 (USD 1179.40), around the level 27865 (USD 1155.70), 61.8 % retracement of 16420 (USD 681.00) to 46384 (USD 1923.70), and rebounded to recent high of 34576 (USD 1434.00). 28439 should be the medium term bottom. However, there is no sign of reversal yet of the bigger decline from all time high as long as 36813 (USD 1526.70) resistance holds. Gold should be in a phase of range trading between 28439 and 36813 in medium term.

Trade Happy, Trade Safe :)