FX.co ★ Technical Analysis of Gold for December 02, 2014

The yellow metal gave a mind-blowing performance at yesterday's session, after Moody downgraded the Japanese economy. The long-awaited Swiss referendum's results dried in few hours. Everyone realized the next bearish leg on the yellow metal after the Swiss referendum. But at yesterday's session, it gave a stellar performance gaining $57. In my yesterday's article, supports were determined at $1,141.80 and $1,137.00, gold made a low at $1,142.50. But I didn't recommend buying. On the bullish front, the metal has resistance at $1,224.00. The metal managed to close above 20 and 50Dsma at yesterday's session. The soft US ISM data supported the metal as well. On the down side, the metal has support at $1,203 and $1,200.00. The prices are closed far above the 12ema and 34hrsma. Currently, the hourly 12ema at $1,202.00 is giving support. We recommend fresh buying only above $1,215.00 and strong momentum will ignite only above $1,224.00 with the targets at $1,232.00. On the whole, the yellow metal future is not that bright. Our long-term bearish targets are still open. We recommend intraday fresh selling below $1,203.00 or safe selling below $1,199.00 with the targets at $1,195.00 and $1,190.00. The weekly resistance exists at $1,236.00, above this $1,255.00 will come into existence. The monthly resistance level exists at $1,275.00. Today, ahead of Yellen's speech at FOMC, the metal is trading with a mild negative stance after spectacular gains.