- The yellow metal has declined marginally lower on Friday as the dollar strengthened across the board, however it has managed to stay around 12 week high. The dollar strengthened across the board mainly due to weak Japanese Yen after Bank of Japan stunned the markets by adopting negative interest rates.
- The commodity is poised to breach the support level located at 1106 and fall further towards downside in the short term.
- To the upside, the strong resistance can be seen at 1120, a break above this level would expose the commodity towards 1128 levels.
- To the downside immediate support can be seen at 1106, a break below at this level will open the door towards 1098 levels.Recommendation: short around 1115 with targets 1100/1090, SL 1128Support levels: S1-1106, S2-1098, S3-1088Resistance levels: R1-1120, R2-1128, R3-1135
The material has been provided by InstaForex Company – www.instaforex.com