The uptend remains intact despite this morning's decline, only a break below 1295 would cause us to revise our bullish stance.
The dollar remains weak, trading well below 80, whilst the correction in equities continues, with the S&P some 60 points off the all time highs. Oil has declined slightly this morning and is currently trading around $103 a barrel.
Today sees CPI data released in the US, as well as the Empire Manufacturing data and TIC flows.
Support can be found at 1307, 1304, 1298-1300, 1294, 1277-1280, 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 now looks unlikely unless we break below 1250.
Resistance can be found at 1315, 1320-1322, 1330-1332, 1340-1342, 1352-1354, 1392-1395, 1400, 1420 and 1435. The impulsive breakout above the down trend line on the weekly chart 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 and potential areas of support for the unfolding correction.