Spot Gold – bulls expected to resume after correction
Spot Gold stays in red eases further on Thursday, pressuring Wednesday’s low and strong downside rejection at $1235, also the base of thick hourly cloud. The price may dip further as correction is signaled by overbought daily slow stochastic which turns south.
Good supports lay at $1232 (20SMA) and $1230 (200SMA / Fibo 38.2% of $1204/$1244 rally) where correction should be contained to prevent deeper pullback and violation of lower pivot at $1224 (daily Tenkan-sen, loss of which would signal lower top at $1244.
Overall outlook is still bullish and keeps focus at $1246/47 and $1250/55 targets in extension.
Res: 1232; 1242; 1244; 1246
Sup: 1235; 1230; 1226; 1220