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Gold back into trendline support
Gold continues to consolidate around trendline support, with yesterday’s rally once again falling short around the 76.4% retracement at $1303.
The ability to break above that level, or below $1289, will provide us with the key determinant of direction from here on in. Given the previous respect of this trendline, there is a good chance we will see another move higher in the short term. However, the continued respect of the 76.4% retracement highlights that this period of sideways price action could yet prove to be a precursor to another leg lower.