Gold closed down on Wednesday and made its intraday high of US$1176.89/ounce after setting intraday low of US$1167.51/ounce. Gold went down by 0.377% at US$1168.43/ounce, noted the technical analysis team of Option Banque.
Technicals in Focus:
In daily charts, prices are below 50DMA (1294) and breakage above will call for 1200-1207. MACD is below zero line but histograms are in increasing mode will bring more bullish stance in the upcoming sessions. RSI is in neutral region and upside is expected. Stochastic Oscillator is in approaching oversold territory and giving negative crossover to confirm bearish stance for intraday trade.
Trading Strategy: Neutral
Based on the charts and explanations above; sell below 1180-1205 keeping stop loss above 1207 and targeting 1165 and 1160-1154; breakage above 1205 will be buy call keeping target of 1216-1230.