Gold Daily Technical Outlook

Oil N' Gold Team from Oil N' Gold at 12/01/09

Comex Gold (GC)

Gold's rally resumes by breaking 1195 and reaches another record high of 1200.5 so far today. At this point, intraday bias remains on the upside and current rally should extend to 61.8% projection of 1026.9 to 1196 from 1130.1 at 1233.7 next. On the downside, below 1175 minor support will turn bias neutral and bring more consolidation. But after all, downside should be contained by 1130.1 support and bring another rise.

In the bigger picture, rise from 681 is expected to develop into a set of five wave sequence with first wave completed at 1007.7, second wave triangle consolidation completed at 931.3. Rise from 931.3 is treated as the third wave and there is no indication of completion yet. Such rally is still expected to continue and target 100% projection of 681 to 1007.7 from 931.3 at 1258. We'll hold on to this bullish view as long as 1072 resistance turn supported holds.

Comex Gold Continuous Contract 4 Hours and Daily Charts