FX.co ★ Technical analysis of Gold for October 16, 2014

Technical outlook and chart setups:

Gold push through initial resistance at $1,240.00 levels and made fresh highs at $1,250.00 yesterday. The metal is expected to correct itself towards $1,210.00 levels before rallying further. Please note that $1,208.00 is the 0.618 fibonacci support of the rally between $1,183.00 and $1,250.00 and it is also converging at the back side of resistance turned support trend line. It is therefore recommended to remain flat for now and look to buy on a correction towards $1,208.00/10.00 levels. Support is seen at $1,221.00, followed by $1,205 and $1,183.00 while resistance is seen at $1,275.00 and higher respectively. 

Trading recommendations:

Remain flat for now, look to go long around $1,210.00 levels.

Good luck!