XAUUSD (1298.75): Gold prices stalled the gains after price action hit the resistance level of 1304 – 1301 level. The consolidation at this place will see gold prices retesting the breached support level of resistance. A lower close off this level could trigger the downtrend being resumed. However, with the bottom being formed at 1282 handle, we expect to see the declines limited to this level. In the near term, gold prices could be seen posting a sideways movement unless we see a clear breakout above 1304 – 1301 resistance level. In this case, gold prices could be attempting to test the resistance at 1325.
