Gold breached 1200 handle to 1195.61 as consolidation from 1214.30 continues, but quickly recovered. Outlook is unchanged that price actions from 1214.30 are merely a correction. And, as long as 1182.90 support holds, rebound from 1160.36 is expected to resume sooner or later. Break of 1214.30 will target 55 day EMA (now at 1226.49) and above.
Overall, 1160.36 is viewed as a medium term bottom the down trend from 1365.24 took a breath. While stronger rebound would be seen, upside should be limited by 38.2% retracement of 1365.24 to 1160.36 at 1238.62 to bring near term reversal. Down trend from 1365.24 is expected to resume later after the consolidation from 1160.36 completes.
