Gold’s price saw a sharp bullish reversal last week, as investor fly to safe heaven assets amid a global stock market correction. Although price has moved to the highest level in 3 months, there is strong resistance ahead. Look closely to risk-oriented assets like equities and oil 0.22% , as recoveries in these assets will be bearish for gold -0.11% .
GOLD Hits 3 Month High, But Still Not Out of The Water Yet by EmpowerTrader on TradingView.com
Scenario One ( Bearish Reversal): Price rejects a bearish breakout from the channel. Look for potential move to test the support level of the channel. Profit levels to look for are 1200.00 and 1190.00 respectively.
Scenario Two ( Bullish Breakout): Price consolidates above 1235.00, bullish breakout confirmed.