Bullion Weekly Technicals – Update 14 February 2014

Gold – Daily Chart

This year’s uptrend has further to run with the 1362/85 region being targeted next

The gold price finally broke through the 1268.28/1279.13 major resistance zone which consists of the December and January highs and currently probes the 50% retracement of the August-to-December decline at 1309.14.

Further up are the July peak at 1349.31 and the mid- September and October highs at 1362.23/1375.37 which are also in focus, together with the 2012-14 resistance line at 1373.11 and the 78.6% Fibonacci retracement and August 19 high at 1380.59/1385.00.

Strong support can be seen at the previous resistance zone, because of inverse polarity, now support area, at 1279.13/1268.28.

While it underpins, our short term outlook will remain bullish even if longer term we still expect the 1225.00/1211.57 early December lows to be revisited at some stage later this year.

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