Gold price broke above the $1,205 resistance today and reached $1,212. Despite Dollar weakness, Gold price pulled back down towards $1,200. It is important to hold above $1,200 in the short-term. Important medium-term support at $1,190 needs also to hold for $1,220 to be achieved.
Green lines - bearish channel
Dark green line- support
Red line -resistance
Gold price broke above the downward sloping red trend line resistance and is now back testing it at $1,200. Holding above it could lead to another leg higher towards the upper channel boundary near $1,222. Support is at $1,190. If this level is broken we forget any move above $1,210 and we focus on a move lower towards $1,170.
The material has been provided by InstaForex Company - www.instaforex.com