Seems like no frost in Brazil. It was a busy weeks last week and throughout the weekend with fears a frost could hit coffee areas. None has been confirmed and worst fears did not play out.
Once all of this is digested I expect some downside opportunities as the market goes back into trading technicals rather than emotions.
Quite oversold and we saw sell...
Gold bounced off of the support area for now
Light volume during recent bounce indicates this is a retracement in the downtrend
--> I threw in some Fibs to indicate where overhead resistance lies.
- 7 day MA (currently there); a break would suggest the 20 day MA or the 38% FIb as target (1240ish)
- 23% Fib at 1224, 38% Fib at 1240