Gold is Targeting #1,700.80 and #1,678.80 in extension

Gold's general commentary: As Gold is Trading within Hourly 1 chart’s Neutral Rectangle, this is very cautious market at the moment. Yet again, I see no firm reason for current Buying bias on Gold, as #1,752.80 - #1,755.80 should price in local Top’s and reversal area. After observing Gold’s Price-action near market closing, #1,700.80 remains an #10-session horizon possibility. As long as the #108.40 level on DX holds and the Bond Yields continue with their Volatile phase on Weekly chart (#1W), I expect Gold to remain under pressure and continue Trading downwards both on Hourly 1 and Hourly 4 chart. I do expect however the currency speculators to push DX as High as they can ahead of next week in order to secure a more comfortable Short - Selling entry throughout Friday’s late session.


Technical analysis: Technically, Hourly 1 chart is stuck inside a #2-session consecutive #15 point belt Trading within the Rectangle aswell on High Volatility variable that can keep the Price-action inside #1,740.80 - #1,755.80 belt until today’s U.S. session opening Bell. I am still expecting a break of the #1,727.80 Support within #3 sessions, and my #1,700.80 psychological mark Target extension, break of which can negate Buyers on the Medium-term. I expected consolidation for the rest of the session and early E.U. opening to provide Investor sentiment ahead of crucial Fundamental announcements. I am still looking at #1,678.80 Lower Low’s initially. Regarding Fundamental developments, Dynamic Yield curve chart got my attention since it is approaching strong Resistance levels, and as soon as Price-action is Trading on mentioned levels for a while, aggressive decline occurs (compare the pre-crisis of #2,008 Year values, indicating strong recession ahead). When Fed raises rates, Dynamic Yield curve chart is best to be monitored for Short and Medium-term pointers. It is important to note that Base currency chart spiked all the way from #0.8 all the way towards #6.1 trillion. All this above displays unfriendly picture for Gold.


My position: I have closed my yesterday's session Selling order with small Profit, however less than #10 points since I didn't allowed risk to Trade the news (which later on added huge Selling pressure on DX). I will most likely sit out today's session as I don't expect much from it / aswell don't be surprised if you see thin Volume throughout the session. Trading current Intra-day sequence may be dangerous (with side Swings all along) as I will await my chance to re-Sell Gold throughout tomorrow's early E.U. session.