Spot Gold extended recovery from $1267 (Fibo 61.8% of $1251/$1292 upleg) to $1290 on Thursday, signaling retest of $1292 resistance (11 Aug high).
Strong rally on Wednesday, sparked by fresh dollar’s weakness on dovish Fed, formed bullish Outside Day pattern and generated reversal signal.
Signals that Fed may delay its expected rate hike boosted interest rate change sensitive gold, keeping bullish daily studies unaffected by recent $1292/$1267 correction and biased higher, eyeing targets at $1292 and $1296 (16 Apr /06 June highs) and psychological $1300 barrier.
Final break above key $1292/96 resistance zone is needed to signal resumption of broader uptrend $1122 (15 Dec 2016 low).
Meanwhile, corrective easing faces initial support at $1282 (session low / broken Fibo 61.8% of $1292/$1267 pullback) with rising 10SMA ($1275) expected to contain extended dips.
Res: 1290, 1292, 1296, 1300
Sup: 1282, 1275, 1279, 1276
