Technical forecast for Spot Gold

Spot Gold has collapsed breaking 1617/16 to hit 1598.23. The bounce may test resistance at 1619/1621. This should be tough to beat so a top for the day here again is possible but a push higher targets 1626 with any further strength then likely to target 1633/35 for an excellent selling opportunity.

If we cannot get through 1619/21 look for a test of support at 1611/10. A move below 1609 then risks a test of last week’s low at 1598. W are getting very oversold so we may find a floor here again but on a break look for 1595 & then 1590 below but there is scope for a test of 1585 this week in this 4 month down trend.