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Markets lack strong volume as institutional traders are absent.
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Despite thin trading, Gold trades above $2624 local support.
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Next support $2620 & $2610, Next Resistance $2637 & $2647.
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Major Resistance may come at $2655-$2665.
As institutional traders are not participating due to holiday season that stretches from Christmas to New Year, markets witness low trading volume.
Meanwhile, Gold has been trading above local demand zone $2624 and awaits a break above $2631-$2633 initial hurdle to advance its prevailing rally towards next resistance band $2637 followed by $2647.
If this resistance band is cleared with stability above the zone, recovery rally is likely to extend legs for $2655-$2665.
Sellers may be seen repositioning their short positions on heights in anticipation of another bearish push lower which will be signalled by strong break below $2624 and downside targets may be considered initially to revisit $2610-$2600 followed by major downside target $2550-$2530.
The views of the article are based on price action studies, technical analysis and chart-based studies. The author does not hold positions on items he writes about. The views expressed are for educational purposes and are not trading advice.
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