The adjoining chart is of MCX Gold August contract. We can observe that gold has broken out of a downward sloping channel. Since the past few trading sessions, it was trading in a sideways manner, which has broken on the upside. It is currently trading above the 20- and 40-daily moving averages.
The daily momentum indicators have a positive crossover. We expect gold to trade with a positive bias going ahead for targets of 27500, which is the daily upper Bollinger band, and above that we expect levels of 27620, which is the 20-week simple moving average. Reversal of the bullish stance is placed at levels below the 26300, which is the 20-day simple moving average.