Gold negative weekly candle formation kept prices under pressure to test excellent support at 1312 and a buying opportunity, with stops below 1308. We did dip as far as 1307.50 but if longs were held we are now trading back above 1312 and being oversold short term and on the daily chart there is a good chance we can start a recovery. First target is 1315/16 then 1320/21. Profit taking on our longs may be wise here as a high for the day could be seen. If however we continue higher look for strong resistance at 1325/27 and a selling opportunity. Exit remaining longs and try shorts with stops above 1330. Go with a break higher then with long positions targeting 1334/35 and possibly as far as 1340/42 this week for the next selling opportunity.
Any longs need to stop out below 1307. Go with a break lower as prices should remain under pressure and target the 200 day moving average at 1297/96. Exit shorts and try longs with a low for the week expected.