Technical outlook and chart setups:
Gold seems to have finally bottomed out around the level of $1,183.00 yesterday before bouncing back. The metal is currently forming a bullish morning star candlestick pattern on the H4 chart indicating a potential reversal. Also note that the metal has bounced off its support trendline passing through the level of $1,183.00. It is hence recommended to remain long and also look to add fresh long positions with risk around $1,180.00. Immediate support is seen at $1,180.00 levels followed by $1,168.00, $1,143.00, and lower. Resistance is seen at $1,215.00 followed by $1,231.00, $1,240.00, and higher respectively.
Remain long for now, stop at $1,180.00, and a target is open.
The material has been provided by InstaForex Company – www.instaforex.com