Due to yesterday’s speech by Mrs. Janet Yellen, gold went back to uptrend. The price went up to support level of 1218.00 (Fibonacci 23.6%, ЕМА200 on 4-hour chart) and today, the price has exceeded resistance level of 1237.00 (ЕМА144 on the weekly chart).
On the daily and 4-hour charts the indicators OsMA and Stochastic recommend to open long positions. Consolidation of the price above resistance level of 1257.00 (ЕМА200 on the weekly chart) may trigger the rise up to 1280.00, 1300.00 (upper limit of the ascending channel on the weekly chart), 1323.00 (Fibonacci 38.2% in the wave of decline since October 2012 to the lows of 2015 at the level of 1048.00).
Otherwise, the price of gold may decline after consolidation of the price below the level of 1209.00 (lower line of the ascending channel and ЕМА50 on the daily chart).
Supports levels: 1237.00, 1218.00 and 1209.00.
Resistance levels: 1257.00, 1280.00, 1300.00 and 1323.00.
Buy Stop: 1245.00. Stop-Loss: 1236.00. Targets: 1257.00, 1278.00, 1300.00 and 1323.00.
Sell Stop: 1230.00. Stop-Loss: 1239.00. Targets: 1218.00, 1209.00 and 1165.00.