The key to gold's performance for the rest of 2013 remains the dollar and to a lesser extent equities and oil. A break above 81 for the dollar would see gold down sharply and suggest a return to the lower part of the 1180-1434 range as a minimum.
Equities remain well supported and continue to attract funds in search of yield, diverting investment away from commodities, whilst the tumbling oil price suggests inflation is not a concern.
Support can be found at 1310, 1300-1306, 1291, 1277, 1260, 1250, 1207 and 1180. A break of 1180 would have serious bearish implications for gold and suggest a decline to 1000-1050 as a minimum.
Resistance can be found at 1320-1322, 1328-1330, 1338-1342, 1352-1355, 1360, 1375, 1400 and 1434. A break above 1434 would suggest a major rally was unfolding with a target of 1525 as a minimum.
Today's video for subscribers looks at the recent trading in more detail and our strategy for our current short position.