Two Upside Targets Met In Gold Setup

At the end of April we had a nice setup in Gold. That is a bit easier to see on the 120-minute chart.  

We had a price cluster of support at the 1751.90-1754.20 area. This cluster included the coincidence of at least 4 Fibonacci price relationships.  It included 2 price extensions, a 100% projection of a prior decline and a .618 retracement of a prior swing.  

So far we've seen two upside targets met on the upside with a rally of $90.  If the rally continues, target 3 is 1869.20.  The fact that we've met two targets already however, suggest a relatively tight trailing stop as many moves tend to terminate at extensions of prior swings.

Carolyn Boroden, who is renowned for her expertise in Fibonacci price and timing analysis, hosts the Fibonacci Market Analysis service at ElliottWaveTrader.