In fact price action is very bullish with gold convincingly closing above the 61.8% retracement of the August to December sell-off at $1338. Traders will now be eyeing a break of the October high of $1361, which is just ahead of the 2012 downtrend at $1363. A break of these levels in the coming days will be very bullish and lead the commodity to a test of $1374.
A look at the stochastic on the daily chart shows another bullish development, with the oscillator threatening to break below the 80 level, however there has been a modest bounce off this level instead. This suggests a continuation of the trend, and with the MACD still well above zero this should be seen as a positive development.
The hourly chart has started to look a touch more bearish, with the stochastic breaking below the 80 level and the MACD trading through the signal line. This suggests to me we could see a bit of profit taking to the $1345 to $1335 area. However as said, the daily chart suggests dips will present themselves as buying opportunities.