Spot Gold rallied further in early Friday’s trading as demand for safe haven assets was boosted after terrorist attack in Spain.
Gold extended strong rally of past two days and broke above previous high of 11 Aug at $1292, looking for key med-term barriers t at $1296 (06 June / 14 Apr peaks).
Sustained break here is needed to signal an end of multi-month congestion between $1296 and $1204 and continuation of larger uptrend from $1122 (15 Dec 2016 low).
Technical studies are full bullish setup and favor further advance towards psychological $1300 barrier (also the upper boundary of bull-channel from $1204) and $1315 (Fibo 76.4% of $1375/$1122 descend) in extension.
However, hesitation ahead of $1296 barriers cannot be ruled out, with consolidation phase expected before final push higher.
Session low at $1285 marks initial support, with Thursday’s low at $1282 and 4-hr cloud top at $1278 to contain extended dips.
Res: 1296, 1300, 1315, 1328
Sup: 1292, 1285, 1282, 1278
