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Yesterday gold approached this area representing strong resistance. As the instrument could not break it, the price resumed its bearish cycle.
If gold consolidates above 2,638 (21 SMA) in the next few hours, the outlook could be positive. So, we could expect a break above 2,656 and the price could reach 2,682 and even 5/8 Murray around 2,695.
On the contrary, with a break below 2,635, traders could see gold fall to 2,617. Eventually, the metal could reach 2/8 Murray at 2,578.
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