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Technical Analysis: Gold buyers look upon 12-week-old horizontal resistance

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Despite surging to the seven-week top, Gold prices aren't out of the woods yet. The reason being overbought conditions of the RSI and absence of breaking 12-week-old horizontal resistance. As a result, sellers will look for entry if prices slip below $1500 immediate support. In doing so, 100-day EMA and 50% Fibonacci retracement around $1470/68 will be on their radars. In a case where the bullion keeps declining under $1468, the 61.8% Fibonacci retracement near $1448 will be the key to watch.

On the upside, a daily closing beyond $1520 becomes necessary for the Bulls to take aim at $1535 and the September month top close to $1555. It's worth mentioning that the weekly chart is in the support of buyers and hence overall strength of the precious metal can't be denied during the year 2020.

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