Technical outlook and chart setups:
Gold had dropped lower to $1,265.00 levels yesterday before rallying higher back towards $1,280.00 levels as seen here. The metal seems to be preparing to break above $1,285.00 (intermediary resistance trend line) and subsequently head towards $1,340.00 levels. It is highly recommended to remain long in the yellow metal for now, risk remains below $1,245.00. Immediate support is seen at $1,265.00 levels (interim), followed by $1,250.00, $1,220.00 and lower while resistance is seen at $1,295.00 levels (interim), followed by $1,307.00 and higher respectively. Bulls are in control at least until prices remain above $1,250.00.
Remain long, stop at $1,245.00, the target is at least $1,340.00/50.00.
The material has been provided by InstaForex Company – www.instaforex.com