Short-term analysis on Gold

Gold price remains below the short-term resistance and bounce target area of $1,725-30. However today's pull back and higher low at $1,698 makes me expect Gold price to start next week with a positive note. Gold price has potential to rise $40 next week.

Red line - resistance

Blue line - support

Red horizontal lines - Fibonacci extensions

Gold price could be at the start of a trend change. Price has formed a higher low and if price breaks above resistance at $1,725-30 it can push higher towards the red downward sloping resistance trend line and 100% Fibonacci extension at $1,763. This is our target for next week as long as price stays above $1,698.