Spot gold may extend loss to $3,967

SINGAPORE, Oct 23 (Reuters) - Spot gold may extend loss to $3,967 per ounce, as suggested by a projection analysis.

A wave C from $4,198 has briefly travelled below its 138.2% projection level of $4,001. It has a better chance of extending to $3,967, the 161.8% level.

Resistance is at $4,035, a break above which may lead to a gain into a range of $4,045 to $4,055. On the daily chart, a projection analysis on the downtrend from $4,512 has extended far below its 100% projection level of $4,096.

A further extension into a range of $3,839 to $3,937, formed by the 161.8% and the 138.2% levels, will be highly likely.

* Wang Tao is a Reuters market analyst for commodities and energy technicals. The views expressed are his own. His analyses are published exclusively on the Workspace platform, a London Stock Exchange product.

** No information in this analysis should be considered as being business, financial, or legal advice. Each reader should consult their own professional or other advisers for business, financial, or legal advice regarding the products mentioned in the analyses.