Gold’s sharp decline last Friday confirmed short term topping at 1346.71 on bearish divergence condition in daily MACD. That came ahead of 1366.05/1375.17 resistance zone. Focus now turns back to 1276.76 cluster support (38.1% retracement of 1160.17 to 1346.17 at 1275.45). Decisive break there should confirm completion of whole rise from 1160.17. In that case, gold should have started another falling leg inside the long term range pattern. Deeper fall should then be seen back towards 1160.17 support. In case of another rise, we won’t expect firm break of f key fibonacci level of 38.2% retracement of 192.070 to 1046.37 at 1380.36.
