Gold is growing amid massive expectations of correction. Such growth can be called “the classics”, when market works against the “crowd”. However the growth is too steep and of course bulls won’t be able to keep this pace for a long time. Most likely we’ll see profit booking at the closest round level 1550.00 and a corrective pullback respectively.
Local upward structure already has a bearish inside bar at the tip of upswing, therefore we can’t rule out a development of corrective downward movement from current levels in direction of the pivot-level 1525.00.
Main scenario: Start of decline in direction 1525.00.
Alternative scenario: Reaching of 1550.00 level by upswing and then downward reversal.
Careful shorts in direction 1525.00 - we have to take into consideration a probability of reaching 1550.00 region by gold before a downward reversal.