Gold: Challenging Its Declining Channel
Gold is challenging its declining channel. The hourly resistance at 1251 has been broken. Monitor the other horizontal resistance at 1269 (19/11/2013 low). An initial support now lies at 1226 (25/11/2013 low).
In the 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 we favour a minimum move towards the key support at 1181. A key resistance stands at 1434 (28/08/2013 high).