Technical outlook and chart setups:
Gold dropped to $1,146.00/47.00 yesterday before recovering sharply back to the territory above $1,150.00. The metal has re-tested a low at $1,143.00 and sustained. Moreover, the daily chart view is indicating a morning star formation, which is extremely encouraging for bulls. It is still recommended to wait for the confirmation before entering long positions again. The metal could be possibly forming a double bottom around $1,143.00/45.00 before resuming its trend on the higher side. Immediate support is seen at $1,143.00, while resistance is seen at $1,175.00 followed by $1,190.00 and higher respectively.
Remain flat for now.
The material has been provided by InstaForex Company – www.instaforex.com