Gold set to advance further, downside to be limited- long around 1087 with targets 1096/1099, SL 1084

The yellow metal has surged strongly towards 1091 levels , as persistence concerns over  Chinese economy  and geopolitical tensions in the Middle East has increased the demand for the yellow metal for the third  straight session.

• The commodity is poised to trade in higher range in the coming sessions as the demand for yellow metal is set to continue.
• Any downside is expected to be limited around 1086 levels as the support level located at 1084 is likely to hold the bears from falling further below and bring a rebound back towards higher levels.
• To the upside, the strong resistance can be seen 1091, a break above this level would expose the commodity towards 1099 levels.
• To the downside strong support can be seen at 1084, a break below at this level will open the door towards 1079 levels.

Recommendation: Go long around 1087, targets around 1096/1099, SL 1084
 

Support levels: S1-1084, S2-1079, S3-1072

Resistance levels: R1-1091, R2-1099, R3-1106