Gold rebounded after a brief sell-off yesterday. The market opened near day-high in 1825. The price has started to turn south as it entered the European session, touching the day-low around 1811 at the US session. At the day’s end, the gold price rallied back to 1822, closed down by USD 3.

Overall the market is in line with our expectations, with the price consolidated toward 1815 after escaping the uptrend trendline(1) yesterday. Notice the rebound before the market closing yesterday was relatively strong, over USD 10. This rebound should be able to digest the first round of sell after it touched 1825 the day before. The price should be able to test a new weekly high today, aiming at 1833-35 for the 1st target.

Gold successfully defended the 1815 support yesterday. And the first bullish signal(4) has appeared on the daily chart after the rally. If the price can break out from 1835, 1870 will be in reach very soon. Be patient for now…

S-T Resistances:

1835

1830-32

1825

Market price: 1825

S-T Supports:

1820

1815

1810

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