Bearish Threat

• RES 4: $1877.2 - High Nov 16 and key resistance
• RES 3: $1871.0 - High Nov 18
• RES 2: $1853.9 - High Jan 25 and the bull trigger
• RES 1: $1822.2 - High Jan 27
• PRICE: $1805.2 @ 07:13 GMT Feb 3
• SUP 1: $1780.4 - Low Jan 28 and the bear trigger
• SUP 2: $1775.7 - Low Dec 16
• SUP 3: $1753.7 - Low Dec 15 and a key support
• SUP 4: $1746.0 - Low Oct 6

Gold, despite trading above recent lows, remains vulnerable. The recent bull cycle stalled last week and the sharp sell-off resulted in a break of the base of its bull channel drawn off the Aug 9 low. This highlights a bearish threat and a more significant reversal and signals potential for weakness towards $1775.7, the Dec 16 low. For bulls, a break of $1853.9, Jan 25 high is required to reinstate the recent bull theme. Initial resistance is at $1822.2.