FX.co ★ Technical analysis of Gold for January 16, 2014.

Technical outlook and chart setups:

1. Gold retraced yesterday and possibly bottomed out at $1,234.00. A rally should push prices above $1,255.00 mark, towards the $1,267.00/70.00 region. Recommendations are to watch out for any bearish formations at $1,267.00 and initiate short positions.

2. Immediate resistance is at $1,267.00, while supports are spread through $1,234.00 (intermediary), followed by $1.220.00 and $1,182.00 respectively.

3. Structure reveals that Gold might be headed towards $1,267.00/70.00 before pulling back. A failure there could be encouraging for bears.

Trading recommendations:

Remain flat for now. Looking to initiate short positions at $1,267.00/70.00 levels.

Good luck!