Gold had been consolidating between $1325-$1340 area for past couple of days. Yesterday, we saw a quick rebound after gold made a low of $1277 in spot market. It rose to the levels where the decline was started. As we see in the image below, a perfect 'Cup & Handle' formation is being made.
Nonetheless, the next 17 days should be very interesting for gold market as October 17 is the debt ceiling deadline. Investors need to know that hitting the debt ceiling is so much worse than a Government Shutdown.
Expected Prices : Gold is expected to rebound near $1305 area, lower limits are $1398-1399.90. Expect targets are $1333, $1348 and $1370.