Gold price within a positive pattern – Analysis - 22-10-2018

Gold price’s recent trades are confined within bullish pennant pattern that appears on the chart, which means that breaching 1230.50 will activate the positive effect of this pattern and push the price to test 1238.31 level as a first positive station.

Therefore, the bullish bias will be suggested in the upcoming sessions supported by the EMA50, taking into consideration that breaking 1218.70 will stop the expected rise and put the price under negative pressure that its targets begin by breaking 1208.37 followed by rallying to resume the main bearish trend again.

Expected trading range for today is between 1218.00 support and 1245.00 resistance.

Expected trend for today: Bullish