Gold to challenge the $1921.50 2011 high - Commerzbank

FXStreet notes that gold is trading close to the $1860 mark, on course for the $1921.50 September 2011 high. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, expects the yellow metal rally to stop at $1983.

“Gold is on course for the 1921.50 September 2011 high.” 

“Please note there is room for an overshoot to the top of a 49-year channel at 1983.00. It represents our long-term target. This should hold the initial test and provoke some profit taking.”

“Forays above 2000 are expected to remain short-lived.” 

“Support is offered by the 55-day ma at 1797 and the four-month uptrend at 1795. Below 1795 lies the 1765 May high. This guards the 1670 June low.”