The pattern of higher highs and higher lows therefore remains intact, although the large bearish RSI divergence signals that there is a potentially large correction imminent.
Silver remains relatively weak compared to gold, which is a concern for bulls of both metals as silver usually leading gold higher in a bull market. The dollar remains under 80, supporting gold whilst equities remain off their all time highs with a potential top forming.
Support can be found at 1354, 1350, 1340, 1330-1332, 1322, 1312-1315, 1307, 1295-1300, 1280, 1275, 1250-1255, 1237-1240, 1220-1225, 1210, 1200 and 1180. A break of 1180 would have serious bearish implications for gold and suggest a decline to 1000-1050 in the short term, though this is looking increasingly unlikely.
Resistance can be found at 1360-1363, 1377-1380, 1395-1400, 1420 and 1435. The breakout above 1300 suggests an end to the intermediate term down trend and that a significant rally is now developing.
Today's video for subscribers looks at the recent trading in more detail and our thoughts for our next trade.