Forex Signals In Urdu 2 : January 2014

Here is another post of Forex Signals in Urdu. From a technical perspective, gold is set to post its first annual decline in thirteen years and the broader drop following the break below a multi-year triangle formation in April of this year remains in focus. Although the larger trend remains weighted to the downside, near-term metrics suggest the yellow metal is at risk for a correction higher heading into 1Q if prices mount the $1268/70 resistance range. That level represents the confluence of multiple Fibonacci ratios and has served as a clear pivot in price dating back to 2010.

Interim support rests at $1209, with a break below this level targeting more critical support at $1179/80. This level represents the confluence of the 100% Fibonacci extension taken from the decline off the August highs and the yearly low made back in late-June. Note that daily momentum has continued to respect trend line resistance dating back to the August highs. A breach and subsequent break above the 50-threshold would suggest a substantial correction higher may be in the works. It is also important to keep in mind that cyclically speaking, gold tends to perform well into the year-end with the 2014 opening range likely to offer further clarity on whether a rebound is on the cards early next year. Bottom line: gold remains at risk sub-$1268/70, with a break higher shifting our near-term focus to the topside with resistance targets eyed at $1286, $1305 and $1325. Look for a break and close below the yearly low to put the broader down trend back into focus, with such a scenario eyeing subsequent support targets at $1151-1160, $1125 and $1091.