GOLD: Having violated its key resistance at the 1,640.45 level during Wednesday trading, the broader risk remains to the upside. This development now leaves the commodity threatening further upside momentum towards the 1,670.70 level and then the 1,682.95 level. The latter level should provide a strong resistance and turn it lower. However, if that level breaks, expect GOLD to strengthen further towards the 1,700.00 level. Its daily RSI is bullish and pointing higher supporting this view. Conversely, a pullback if seen should target the 1,640.45 level initially where a reversal of roles as support is likely to occur. Further down, support comes in at the 1,544.35 where a breach will call for a move lower towards the 1,527.05 level. A cut through here will pave the way for further declines towards the 1,500.00 level. All in all, GOLD has resumed its corrective recovery with eyes on the 1,682.95 level.
