Spot Gold surged on fresh safe-haven buying and hit new five-month high at $1269 on Friday.
Fresh rally emerged from near-term congestion between $1239 and $1260 and eventually broke above key barriers at $1258/63 (200SMA/former top of 27 Feb).
With daily studies now in full bullish setup and renewed bullish sentiment, gold price is set for further rise.
Today’s close above $1258/63 pivots will generate strong bullish signal for extension towards next target at $1278 (Fibo 61.8% of larger $1376/$1122 July/Dec 2016 descend).
The yellow metal is also on track the fourth straight bullish weekly close that supports scenario.
Former strong barriers at $1263/58 now act as good supports that are expected to ideally contain corrective dips.
Session low at $1250 (reinforced by rising daily Tenkan-sen line) marks lower pivot, loss of which would weaken near-term structure.
Res: 1269, 1274, 1278, 1281
Sup: 1263, 1261, 1258, 1250
