Midday update for Gold 05/05/2016

Gold price shows bearish bias to approach from testing the bullish support line that located at 1268.90, which meets the EMA50 to strengthen it, while stochastic heads bullishly on the four hours time frame.

Therefore, we believe that the chances available for resuming the bullish trend in the upcoming sessions, and the price needs to breach 1282.92 – 1284.75 levels to confirm opening the way towards targeting 1344.85 levels as a next main station, pointing that breaking 1268.90 level will push the price to suffer more losses and testing the most important support for the short term trading at 1227.40 before any new attempt to rise.

Expected trading range for today is between 1266.00 support and 1310.00 resistance.

Expected trend for today: Bullish