Gold reaches the first target – Analysis - 26/01/2016
Gold price rallied bullishly to reach the first expected target at 1114.50, which represents 50% Fibonacci level for the last bearish wave that appears on chart, which means that breaching this level will push the price towards 1130.60 direct.
The EMA50 keeps supporting the price from below, which encourages us to expect more rise in the upcoming sessions, which might be preceded by some temporary sideways fluctuation affected by stochastic negativity, noting that breaking 1098.40 level will stop the correctional bullish bias and push the price for attempts to return to the main bearish trend.
Note that the main track still bearish, and the price is inside a main bearish channel that its resistance line located at 1142.00, therefore, we need to monitor the price behavior at any rise towards the mentioned level, due to that the chances will be valid for a bearish rebound according to the trading rules inside the price channels.
Expected trading range for today is between 1098.40 support and 1130.00 resistance.
Expected trend for today: Bullish
The EMA50 keeps supporting the price from below, which encourages us to expect more rise in the upcoming sessions, which might be preceded by some temporary sideways fluctuation affected by stochastic negativity, noting that breaking 1098.40 level will stop the correctional bullish bias and push the price for attempts to return to the main bearish trend.
Note that the main track still bearish, and the price is inside a main bearish channel that its resistance line located at 1142.00, therefore, we need to monitor the price behavior at any rise towards the mentioned level, due to that the chances will be valid for a bearish rebound according to the trading rules inside the price channels.
Expected trading range for today is between 1098.40 support and 1130.00 resistance.
Expected trend for today: Bullish