Gold price had a nice push higher after the Manufacturing PMI came out and we are closer to our main upward target at $1,550-$1,554. The downward correction is finished and upside momentum is present.
Red horizontal lines – Important resistance and upward objective
Yellow rectangle - major support area
Purple rising line – Expected path
MACD oscillator is picking momentum up and I do expect at least another push higher. Key support is at $1,525 and resistance at $1,554. Bears need to be very cautious as there is strong upward momentum in the background and potential buying the deep type of feeling. As long as the Gold is holding above $1,525 there is a chance for potential test of $1,554. I moved my stop to breakeven and I wait for potential $1,550-$1,554 to be on the test. Bull divergence in the background did play big part for this rally. Short and Mid term trends are bullis.
