Technical Outlook and Chart Setups:
Structure remains constructive for bulls, and the yellow metal is set to break higher as the New Year sets in. Please refer to all parameters below that are converging and confirm the bullish scenario intact.
1. Prices have bounced off the trendline support.
2. As depicted, the past resistance has turned into support around the same region 1635/45.
3. Fibonacci Retracement of 0.618, for the entire upswing from 1530 to 1795 is converging.
4. Fibonacci extension of downswing from 1795 to 1672 is around the same point of convergance.
5. Hourly charts are depicting a double bottom formation.
Trade Recommendations:
Strong buy recommendations for fresh buying, stop is at 1600/10, Target is Open.
Good Luck !