The 20 DMA continues to climb and the 200 DMA has also started moving higher, the 50 DMA remains just above as resistance.
We believe that the market is most likely to breakout to the upside, a move above 1705 would confirm that the 4 month down trend has finally been broken and a new rally leg is likely underway. A strong oil price continues to support gold, as does a weak dollar.
However, there is the rising possibility that the market is tracing out a bearish rising wedge, which would see lower prices. The first sign of this pattern becoming a reality would be a break of 1684, the wedge would be confirmed by a break of the uptrend support line at 1677.
Today's video looks at the rising wedge pattern in more detail and our thoughts on the next market move.