Gold held strong at 1261, and then fell down to 1247. We know we have support in the 1246/44 area and we need a break below 1244 to see any further weakness. Now, the short term charts have turned bearish, so there is an initial call for the market to trade lower.
We need a break below 1244 to see Gold move to the 1236 support. Cover shorts to here. Look to resell a break of 1232. A loss of this support leaves 1225 to 1220 exposed. For the time being we are covering all short positions here and looking to go long. Any longs only to be reversed below 1216. If lost we see 1211 then 1200 as a short term objective.
Now the other side is that 1252 holds, then we are liable to pullbacks once more to 1261 area. As before we cover longs to here.
We would only be a buyer of Gold if the market made a break above 1263. If this is the case we will head for 1269/70 once more.
