Forecast - 2013-01.22

Until today, gold is still moving in the Upper Path. That means it's already more than a week gold stays in this path.

Looking at the daily chart above, we can see that the chart will soon meet the Brown Resistance which is the Main Trend Resistance. If gold can break that brown resistance line, it means that we will have a new uptrend confirmed. It is not impossible gold will make its way, up to its last highest at 1795 area.
Even though, I think that will not happen soon enough.
In my opinion, more likely gold will have correction when it meets the brown resistance.
Let's zoom in to H4 chart below.

It's pretty obvious that gold reluctantly moves sideways with upside tendency in my upper path / yellow channel. If this movement continues this way, then it will soon meet a strong resistance area, which is the intersection area between the brown and the white line. I think that will be a very strong resistance area and gold will not make its way to the north in one pass only. I think, gold will have to push several times before it succeed to break the resistant wall. In this context, gold might have some correction down to the yellow support.
(But in term that gold successfully break the resistance area and go north, it might be heading to 1795 in one or two months).
The most likely to happen in some days ahead is a sideways move between 1680 - 1697.

Let's wait and see...

Be careful and trade well.

GG - 2012.01.23