Gold sends out some positive signals - technical analysis - 18-12-2015

Gold kept on declining in the intra-day levels, reaching the crucial support level of 1,054.00, which limited the gold's sideways trading in the short term, along with a bouncing-off from the support of that descending price channel that limits the metal's movements in the intraday levels, at the same time that Stochastic indicator begins forming a positive divergence, which pushed the prices upward at the beginning of the trading session.

 

We therefore expect the gold to undergo a correctional rise, as long as the support of 1,054.00 holds on, targeting thereafter the resistance of 1,065.00.