Gold unexpectedly broke all resistance to hit 1250. This week's candles formed a bottoming pattern so we should start to build a short term recovery to unwind the oversold scenario. Any weakness today therefore is a buying opportunity with support at 1229/27 likely to hold the downside. However below 1219 risks a retest of the low this week at 1215/12 for a second buying opportunity today.
Fibonacci resistance at 1247 and short term trend line resistance at 1252 so this area may hold a move higher and we could consolidate yesterday's gains before the next push higher. However be ready to go with a break above 1256 to target 1264/68.
Weekly outlook: We hit our downside target of 1215/14 this week and bottomed almost exactly here at 1211.50. We should now build a recovery in to next week.