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Gold breaks higher from triangle
Gold has broken out the top of the triangle formation, yet stalled at the $1232 resistance level. Ultimately, we will need a move back through $1240 to point towards a continuation of this wider uptrend, and until then we are confined to shorter term moves.
With price having returned to trendline support, there is a chance we could see a bounce towards $1232 and $1240. However, we would need to see an hourly close above $1230 to signal the end of the drift lower we have seen over the past 24 hours.
The long term charts signal a bullish bias and thus another move to the upside seems likely soon, yet it is sensible to await a signal of this move first. Resistance levels of note are $1230, $1232 and $1240. Support levels to watch are $1222, $1217 and $1205.