08:28, 21 January

Daily Analysis

On Tuesday last week we covered Gold (XAUUSD) which continued throughout the week to struggle with resistance from the current key level of $1300. After enjoying a healthy surge higher which saw gold push higher to a six month high just shy of $1300, gold has met stiff resistance at $1300 before dropping away to finish last week. Just prior to the surge higher, gold was enjoying some solid support from the key $1240 level and the $1200 level before that, with it resting on support at $1240.
The $1240 level remains a key level as it offered reasonable resistance halting its climb a couple of months ago, and then immediate afterwards provided support. Whilst it is now some distance away, the $1240 level will be likely to offer strong support should gold decline.