FX.co ★ Technical analysis of Gold for February 04, 2014.

Technical outlook and chart setups:

1. The yellow metal has reversed from ahead of $1,229.00/30.00 support. This could still be a retracement and hence recommendations are to hold short positions. Risk remains at $1,285.00.

2. Immediate resistance remains at $1,279.00 (intermediary), followed by $1,294.00, while supports are spread through $1,238.00/37.00 (intermediary), followed by $1,230.00/20.00 and lower respectively.

3. The structure reveals that downside possibility still remains towards $1,214.00/15.00 before the metal reverses the trend. Long positions should be built on a bullish bounce lower.

Trading recommendations:

Remain short, stop at $1,285.00, target $1,215.00.

Good luck!