Gold Daily Technical Outlook

Comex Gold (GC)

Gold's rally is still in progress and reaches as high as 1246 so far and further rise might be seen towards 1266.5 high. However, there is no change in our view that such rise is merely part of the whole medium term consolidation pattern that started at 1266.5. Hence, we'll continue to look for reversal signal. On the downside, break of 1211.7 support will now indicate that rise from 1155.6 is finished and turn bias back to the downside for 1155.6 and below.

In the bigger picture, while the rebound from 1155.6 is strong, there is no change in our bearish view. That is, rally from 1044.5 should have completed at 1266.5. More importantly, whole medium term rise from 681 should have finished with five waves up too, on bearish divergence condition in daily MACD. Whole fall from 1266.5 is expected to resume sooner or later to 1044.5 cluster support (38.2% retracement of 681 to 1266.5 at 1042.8) at least. After all, we'll stay medium term bearish in gold as long as 1266.5 resistance holds.

Comex Gold Continuous Contract 4 Hours Chart

Comex Gold Continuous Contract Daily Chart