Spot GOLD bounces on weaker dollar but sentiment remains negative
Spot Gold edged higher on Friday following steep two-day fall when the yellow metal fell to $1270, down nearly 1.5%.
Softer dollar on Friday inflated metal’s price, with limited recovery expected as sentiment remains negative and tech on daily chart techs remaining in bearish setup.
Thickening daily cloud continues to weigh (cloud base lies at $1283, reinforced by 20SMA and expected to limit extended corrective action).
Bear-leg from repeated upside rejection under $1300 barrier is expected to attack targets at $1266 (200SMA) and $1263 (27 Oct low).
Conversely, stronger recovery could be expected on penetration and close in the cloud.
Res: 1278; 1281; 1283; 1288
Sup: 1273; 1270; 1266; 1263