SINGAPORE: Spot gold may drop more into a range of $1,829-$1,841 per ounce, following its failure to break a resistance zone of $1,872-$1,879.
The failure marked the completion of a wave (c) from $1,779.20. This wave consists of three smaller waves. The wave b ended at $1,820.30, which serves as a target over the next few days.
Immediate resistance is at $1,865, a break above which could lead to a gain into $1,872-$1,879 range. On the daily chart, the drop on Tuesday was due to a resistance at $1,876.90, the Nov. 16, 2021 high.
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A retracement analysis on the uptrend from $1,753.30 suggests a target zone of $1,816-$1,831. It must be noted that the uptrend remains intact within a rising channel despite the coming correction.
Source: Brecorder
