Gold's price saw a sharp bullish reversal last week, as investor fly to safe heaven assets amid a global stock market correction. Although price has moved to the highest level in 3 months, there is strong resistance ahead. Look closely to risk-oriented assets like equities and oil, as recoveries in these assets will be bearish for gold.
Trade Step-ups:
Scenario One (Bearish Reversal): Price rejects a bearish breakout from the channel. Look for potential move to test the support level of the channel. Profit levels to look for are 1200.00 and 1190.00 respectively.