Gold prices turned more bullish after breaking above the March peak of 1283.42 early this month to reach a more than one year high of 1303.58. Since then the market has corrected lower to 1256.73
The outlook remains bullish from a technical point of view. On the daily chart, the market has held above the bullish 50-day and 200-day moving averages. There was a bullish crossover of the two back in February. RSI is still above 50 in bullish territory.
To the downside, support comes in at the 50-day MA around 1243, where a break will turn attention to the key 1200 level.
Resistance lies at the key 1300 area. Once the 1303.58 high is breached, the recent bullish uptrend will resume to target 1350.
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