FX.co ★ Gold bounces off support at 1,420.00

Technical outlook and chart setups:

The yellow metal has bounced off the 0.382 Fibonacci support levels at 1,420.00. It is recommended to book partial profits on the short positions suggested last week. The trading implications are dual at the moment.

1. A lower top is in place ahead of 1,500.00 level and a move lower is under way towards 1,290.00 level.

2. A bullish bounce at 1,420.00 level would see around 1,520/30 levels in the sessions to come, before reversing. Since the intermediary trend is down, the latter one sounds more probable for now.

Resistance is seen at 1,591.00 level, followed by 1,650/70 levels in this chart view. Support is at 1,400.00, 1,380.00, followed by 1,320.00 respectively.

Trading recommendations:

Book partial profits on short positions.

Good luck!