Gold at 2161..Where to next..2185-2200 or 2100-2060.. ?
Gold has established a valid breakout surpassing previous All Time High of 2144 as the metal advanced further to 2161 riding on the expectations of a rate cut by Fed.
As long as 2145 acts as horizontal support, we expect continuation of prevailing bullish momentum reaching 2185-2200 which is likely to attract retail traders for profit booking as short term momentum becomes over heated.
In the event of a downward pressure, 2145-2135 will be the first line of defence to fall which may be followed by a quick return to 2165 zone for retest.
We will be looking for selling opportunities at the retest of 2165 for a reasonably strong risk reward which may ideally have a stop zone at above the high.
As long as 2145 acts as horizontal support, we expect continuation of prevailing bullish momentum reaching 2185-2200 which is likely to attract retail traders for profit booking as short term momentum becomes over heated.
In the event of a downward pressure, 2145-2135 will be the first line of defence to fall which may be followed by a quick return to 2165 zone for retest.
We will be looking for selling opportunities at the retest of 2165 for a reasonably strong risk reward which may ideally have a stop zone at above the high.