Gold: Approaching The Key Resistance at 1268
Gold is grinding higher and is now close to the key resistance at 1268 (see also the declining channel). An initial support can be found at 1244 (13/01/2014 low). Another support lies at 1219.
Longer term, we continue to view the rise from 1181 (28/06/2013 low) as a counter-trend move within an underlying bearish trend. Therefore the test of the key support at 1181 is seen as the minimum downside risk. Another key support stands at 1045 (05/02/2010 low). A first key resistance is given by the medium-term declining channel (around 1273).