Gold pulled back from 1735 again yesterday. The day began at 1726, and the price was gradually heading higher during the Asian/European sessions. Once the price reached the day-high at 1736, the selling started to come in. The day eventually ended at near 1719, with the day-low touched 1714.
Gold should stay below 1735 before the US Fed. Meeting on Wed, as it has once again failed to clear the resistance near 1735 yesterday. An S-T trendline(1) has been formed in the last 12 hours; if the price can breach the support below trendline(2), expect the price to consolidate further into the 1705-35(2) range.
Gold was rejected by the 1730 resistance for the second day on the daily chart. For now, expect the price to trade in between 1710-30(3) until the US Fed. Meeting.
S-T Resistances:
1740
1735
1728-30
Market price: 1721
S-T Supports:
1720
1710
1705
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