Technical outlook and chart setups:
1. Gold has resumed retracement as expected. It is stalling around the $1,290.00 levels for now. The metal is also met with rising trend line support as seen here. Furthermore, the fibonacci 0.50 retracement/support levels are at $1,292.00. These are enough reasons to initiate some long positions here.
2. Support is seen at $1,280.00 levels (fibonacci), followed by $1,260.00, $1,240.00/30.00 and lower while resistance is seen at $1,340.00/50.00 and $1,388.00 respectively.
3. The structure indicates that Gold can still push towards $1,280.00 levels before resuming rally.
Trading recommendations:
Initiate 50% long positions now, stop below $1,260.00, target is open.
Good luck!
