Gold is still trading inside the triangle pattern and it seems that it is going to test the upper boundary once again very soon. I continue to remain neutral or slightly bearish as long as we are below the resistance of $1,260-70. A break above that area will open the way for new highs towards $1,320.
Gold, I believe, has limited upside potential. The rewards for being bullish, in my opinion, are not worth the risk at the current levels. The entire move since the March low at $1,208 is surely not impulsive. This diminishes the chances of a new high. I believe the Gold bulls should remain patient and wait for a deeper correction towards $1,190-60 to unfold before opening long positions.
