FX.co ★ Short-term technical analysis on Gold

Gold price is bouncing off the $1,550-60 support area. Price is challenging the $1,570 level and we expect this upward move to continue at the beginning of the week, but selling pressures should follow.

Gold price is bouncing and has now reached the 50% Fibonacci retracement of the last leg down. I expect price to continue a bit higher towards $1,575 before reversing lower for a move below $1,550. So we keep an eye at the $1,575 resistance level and the $1,550-$1,547 support area. I believe this bounce is a countertrend one and soon we will see the resumption of the downtrend.