FX.co ★ Gold analysis for September 30, 2014

Today's support and resistance levels:

R3: 1.6338

R2: 1.6309

R1: 1.6266

Current spot: 1.6247

S1: 1.6217

S2: 1.6190

S3: 1.6155

Technical summary:

The correction from the 1.6446 high has been deeper than expected and we could see a move slightly lower to 1.6190 and even 1.6155, but this support should be able to protect the downside for the next rally above 1.6337 confirming the next rally higher towards 1.6803 and higher. Longer term we are looking for much higher levels, but need to allow for this correction to unfold first.

Trading recommendation:

We are long in EUR from 1.5826 with stop place at 1.6100. If you are not long in EUR yet, then buy near 1.6190 with the same stop at 1.6100.