Intraday levels and trading recommendations on Gold for September 02, 2014

The yellow metal in yesteday's session rejected from 50Wsma or $1,291, made high at $1,288.30 but managed to close slightly above 200Dsma in the daily chart. It means, the metal is facing selling pressure at higher levels. The metal opened its session today with a minor bearish note. We expect it will correct a bit upwards to the nearest support levels to regain some strength. On the upper side, it has resistance at $1,291 above this; $1,295-$1,296 is the major resistance level.

In case a weekly close is above $1,29, bulls will regain the strength in the near term. - pending

In case a daily close is above $1,296, ST trend turns to positive. - pending

For an hourly trading perspective, we recommend selling only below the $1,285 level. On the down side, it has targets at $1,282, $1,281, and $1,280 levels; break below $1,279.50 more downside is expected to $1,277.50, $1,276 and $1,274 levels. Fresh longs only above $1,289 will mint the money.