Gold Weekly Technical Outlook

Gold's sharp fall from 1306.6 suggests that rebound from 1045.4 is completed and could have set the medium term range between 1045.4/1306. Firm break of 38.2% retracement of 1045.4 to 1306.0 at 1206.5 will confirm this case and would bring deeper fall through 61.8% retracement at 1144.9 before a sustainable rebound. Though, rebound from current level, followed by break of 1234.6 resistance will turn focus back to 1306.0 high instead.