Gold had dropped to $1745 on Thursday to complete the corrective wave that had begun from $1834 mark. The structure looks complete with potential wave b termination seen around $1745. If correct, the yellow metal should resume higher against $1745.
Also note that Gold prices have found support at the fibonacci 0.50 retracement of wave a ($1677 to $1834). High probability remains for a bullish reversal here, and a push through $1806 confirms bottom in place.
Gold had earlier dropped between $1916 and $1677, carving an impulse, labelled as potential Wave A on the chart here. Ideally an impulse is followed by a corrective wave in the opposite direction. If correct, the yellow metal is underway to produce corrective wave a-b-c higher toward $1865.
Gold should remain above $1677 mark to keep the bullish structure intact. Also keep an eye on $1737, which is fibonacci 0.618 retracement of the above rally. Probabilities remain for a drop to $1737 before resuming higher.
Traders might want to position themselves on the long side either from current levels ($1758) or around $1737 mark. Risk remains around $1677, while potential targets are above $18965 going forward.
The Profinacademy.com Team
Bitcoin dropped close to $46000 mark on Monday before finding support again. The crypto is seen to be trading around $46500 mark at the time of writing as bulls remain inclined to be back in control.
The US dollar index spiked through 96.85 mark on Wednesday on the back of the Federal Reserve interest rate decision.
EURUSD is finding support from its consolidation lower range around 1.1260-70 and could resume its rally from here soon.