Outlook in XAUUSD remains neutral this week, support comes at the 1292 levels , sustained trading – weekly closing – below this level will open 1276 levels ahead of the 1258 levels . At this point I’d expect strong support from the 1258 levels to contain fall from the 1345 levels and bring reversal………If 1258 fails , expect to see a free fall towards the 1240/1231 levels and possible lower towards the 1182 levels..
On the upside , resistance comes at the 1322 levels ahead of the 1340 levels , sustained trading – weekly closing – above the 1340 level is needed to resume the upside offensive , If seen , the pair will target the 1375 levels where a breach will turn focus on the 1388 levels…….
In all , the XAUUSD is likely to consolidate within 1292/1340 range before the next move……..
In the medium term forecast , the pair is trapped within 1240/1388 levels , a weekly closing above the 1388 levels will have large bullish implication towards the 1450 levels ahead of the 1520 levels , while losing the 1240 levels on a weekly closing basis will bring a free fall towards the 1180 levels and possible lower towards the 1150/1100 levels………..