FX.co ★ Technical analysis of Gold for Sep 03, 2014

Technical outlook and chart setups:

1. Gold has dropped towards $1,262.50 levels yesterday, a tad below our expectations. Please note that this is fibonacci 0.786 support level of the rally between $1,24.000 and $1,340.00 as seen here. It is still recommended to plan initiate long positions after watching for a bullish bounce.

2. Support is seen at $1,260.00, followed by $1,240.00 while resistance is seen at $1,296.00, followed by $1,324.00, $1,340.00 and higher.

3. The structure indicates that Gold still remains constructive for bulls, till prices remain above $1,260.00 and $1,240.00 levels.

Trading recommendations:

Flat for now, looking to re-enter long.

Good luck!