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Gold hits major support
Gold has once more returned to the $1077 support level this morning, following yesterday’s strong move higher in the wake of the Paris attacks.
The $1077 level is absolutely crucial and a close below it could spark off yet another round of selling given that it would be the lowest close in almost six years.
For now, we are seeing a bounce higher and given the strength of this support level, it would seem likely that we will see a continuation of this short-term bounce higher, with notable resistance levels at $1081, $1085 and $1096.
The overall bearish view will only return once we see a close below $1077.