Gold remaining under bearish pressure for a potential reversal!

11. Jan. 2018

Gold has continues to test major resistance at 1332 (76.4% Fibonacci retracement, 61.8% Fibonacci extension, horizontal overlap resistance). An ascending support line continues to push price against this major resistance causing it to squeeze. A major move in either direction tends to happen in such situations. If price breaks below our ascending support line, this could trigger a strong drop towards 1294 before 1272 (38.2% and 61.8% Fibonacci retracements correspondingly).

Stochastic (55,5,3) is seeing major resistance below 99% where a reversal could occur.

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