A longer-term bull becomes a longer-term bear. It is almost 29% correction. It is the longest correction in gold since 1980's. Gold is digging all the way to June low's. Is it going to make a new low? 90% traders are in bearish mood. only 10% are in bullish mode.
Yesterday, Obama administration hinted about the debt ceiling could be hit by February. Jack Lew said in a letter to congressional leaders to raise debt ceiling limit at the earliest possibility. There is a possibility to boost government revenue in coming year if the economy shows good strength.
At Asia's trading session, it is trading at 1,192. Hourly charts indicated a bit positive. The area above 1,202 is only good for longs. Until it, sell on raise strategy.
Support: 1,187 1,180
Resistance: 1,195 1,202
The close below 1,180 makes more bearish views towards 1,168, 1,150. The close below 1,150 straight away melts another $50 on the cards, 1,100.