Gold is behaving nicely after the sharp correcton lower overnight. The price’s move lower found support buyers against the converged 100 and 200 hour MA (Three’s a Crowd situation. Look for a move away) and the 38.2% of the rally higher. That support area came in at the 1571.40 to 1572.40. The low came in at the 1572.90.
The subsequent rally has seen the price move back above the shorter term MAs and retracement targets (see chart above). Support comes in now at 1583-86 and the next target is at the close from yesterday at the 1592.90 area.
