Yellow metal prices rebounded from 4-months lows at yesterday’s session after the FOMC minutes. Though the metal had made a low below the previous day’s one, it managed with gains. On a closing basis, 1155.00 acts as the key level to watch. On the down side, 1151.00 acts as a multi support level. In all time frames, the precious metal lost all the moving averages. On the higher side, 1165.00 and 1175.00 are strong resistance levels to watch. A daily close above $1,175.00 is likely to lighten bullish views. The parallel support is found at $1,142.50.
A daily close below $1,148.00 opens gates to re-test previous lows of $1,142.50 and $1,135.00. At yesterday’s session, we forecasted «At today’s session if any steep fall favours to for a positive divergence. In this case, mild pull back towards $1,162.00 or $1,165.00». Exactly the metal hit a high of $1,164.20.
According to the world gold council, Turkey reported 6% of global consumer demand. The Ramadan ends on July 16. It’s a culture in the Turkey after the Ramadan, people willing to buy gold in the account of Seker Bayrami festival also known as The sugar Feast. We expect mild physical buying durinf these days.
For an intraday trade, buying is available above $1,160.00 with targets at $1,162.00, $1,164.00, and $1,167.00.The price is likely to accelerate above $1,167.00 towards $1,175.00. The real bullish strength is seen above $1,175.00. On the down side, selling is available below $1,154.00 with targets at $1,151.00 and $1,148.00. Safe selling will be triggered below $1,146.00 towards $1,143.00. Panic is expected below $1,142.00. We expect a pullback from the current levels.
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