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Gold: Overbought And In Need Of Short-Term Correction

Published 01/28/2016, 05:50 AM
Updated 07/09/2023, 06:31 AM
XAU/USD
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GC
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Gold Chart

Gold is overbought as we warned yesterday and in need of a short-term correction. First support at 1115/14 could hold the downside initially this morning and we could bounce to 1119/1120. However, a break lower perhaps later in the day is certainly possible and targets an excellent buying opportunity at 1109/08. A low for the day is expected but longs need stops below 1105.

Minor resistance at 1119/20 but above here could target strong resistance at 1129/30 in overbought conditions. This should be an excellent selling opportunity with stops above 1134.

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