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Friday, July 20, 2012

Gold Continues To Remain Sideways Choppy Before Breakdown.. 2012-07-20



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Technical Outlook and Chart Setups:
As it is depicted above, the yellow metal remains locked in a decreasing resistance/ increasing support type cone structure. If we study the wave counts after the highs registered at 1640.00 levels, we are in the 5th wave now which should break down to lower levels. Until 1620/25 levels are not breached, expect gold to breakdown. We recommend to go short on any intraday rallies towards 1580/90 levels.
Trading Recommendations:
Remain short, stop at 1620/25, and target fresh lows.

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