29.04.201404:37 Forex Analysis & Reviews: Intraday levels for gold for April 29, 2014

Today traders eye the CB consumer confidence and the FOMC meeting (tomorrow). Consumers have grown more optimistic about the future. The latest report on consumer confidence is expected to reflect the hope that better days lie ahead. Economists surveyed by MarketWatch expect the Conference Board’s consumer confidence index to climb to 83.3 in April from 82.3 in March.

Review-

After a dismal winter, more buyers got an opportunity to consider purchases of homes last month. Contracts to buy previously owned U.S. homes rose in March for the first time in nine months, in the latest sign the housing market was stabilizing after a recent shake. The National Association of Realtors said on Monday its Pending Home Sales Index, based on contracts signed last month, increased 3.4 percent to 97.4. The increase beat economists' expectations for a 1.0 percent advance. Despite last month's surge, pending home sales were still down 7.9 percent compared to last March.

Technical view-

Review-

In yesterday's trading session the metal was beaten towards the support levels. We recommended "Sellers can enter short positions below $1,298 for targets at $1,293, $1,291.7, $1,289.50, and $1,282 (a break below $1,289.5, then only lower targets will come)" gold exactly hits the second target.

Intraday forecast-

In Asia's trading session the metal is trading at $1,296 levels. As of now, the metal is taking support at $1,295 levels breaks this, it will drift to $1,293 and $1,291.70 levels. Yesterday's low of $1,291.70 is the very crucial for the rest of the week. On the down side, the metal has a strong support zone at $1,291.70-$1,290-$1,287.40 levels. We expect today as well, the metal has limited upside and again, it will back for support levels between $1,291.7-$1,287.40. The next major fall below only $1,287.40 for $1,282 and $1,277 levels. We expect the short-term bottom will be placed around $1,265-$1,240 levels and then it will move higher.

On the upside, the metal has strong resistance at the $1,300 mark. Until it trades below $1,300, bears will tighten their grip. Above the $1,300 mark, the resistance levels exist at $1,304 and $1,306.60. Short covering and safe buy will trigger only above $1,306.60 for $1,310, $,1311.60 and $1,320 levels.

Recommendations-

1. Short below $1,295 for targets at $1,293, $1,291.70, $1,290 and $1,288. Add more below $1,287.40 for $1,282.

2. Buy above $1,300 for $1,306.0, $1,310, $1,311.60 (above $1,306.60 only next targets will achieved).

Adopt a strategy and trade safe.

joseph.nz@mail2.instafxgroup.com