GOLD - LONGS ARE A POSSIBILITY FOR NEXT WEEKEND

Gold has broken out of a three month down trend and has pushed up to near term resistance. We are at the brink of either breaking this resistance or respecting it. Based on recent fundamentals (weaker USD overall) and the rise of the price of palladium, I say that we have good chance of moving higher.

First we need to break and close above 1305.88, and either retest & reject the 1303 level or show significant signs of buyers before entering long to our first take profit (1311.39).

Till then, we will sit on our hands or enter shorts if the opportunity presents itself.

- RP Forex