Gold is showing as a down week at current 1091. This marks the 7th down week in Gold over the past 8 sessions starting up at 1226.50.
The price action is bearish because of the failed bounce at 1161. Near term risk remains lower with 1075 a significant pivot.
We believe a break of this level would open up liquidation to 1018. This 1018 level represents the 38.2% retracement of the 1 year 682.5 to 1226.5 up move. We are bearish Gold while the unit closes below 1120.
Now support for the gold MCX is seen at 16464 and below could see a test of 16440. Resistance is now likely to be seen at 16503, a move above could see prices testing 16518.
Trading Ideas:
Gold trading range is 16250-16650.
Gold over the past 8 sessions in seventh week ended down
Gold is having support at 16436 level on MCX and 1087$ in spot.
Looming inflation may keep gold prices high - WGC
BUY GOLD FEB AT 14480 SL 14420 TGT 14512-14538-14560-14590.
