October gold closed higher on Wednesday
October gold closed higher on Wednesday due to short covering as it consolidated some of Monday’s decline. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near-term. If October extends this week’s decline, the reaction low crossing at 926.50 is the next downside target. Closes above last Thursday’s high crossing at 962.00 would temper the near-term bearish outlook in the market. First resistance is the 20-day moving average crossing at 949.80. Second resistance is last Thursday’s high crossing at 962.00. First support is Monday’s low crossing at 930.20. Second support is the reaction low crossing at 926.50.
Categorised as: Gold News