On the chart-
# Gold is trading near highs of the trading range which has a top of $1280 (A) and a bottom of $1208 (B). The high of $1280 (A) is also confirmed by intersection of the ray lines indicating the metal may find a fair resistance at those levels.
# Gold is still upbeat regardless of significant up-moves in dollar index which generally is seen as a negative.
# Gold had formed a floor at $1200 thus making it a good support for the metal, this can now be shifted to $1208 (B) which is the lower end of the trading range.
# Another point of interest for the metal is the $1218 (C) which should now act as a reasonable support as it is a very crucial level which if taken out may signal a tone if the metal fails to garner support of investors near the lower end of the range.
# A massive support for the metal is seen at $1180 (D) which could be revisited if all the supports and fundamentals are broken. A point of interest for the Bears which if fails to hold we might see the metal falling to the lows of $1136. Chances of such a move is very slim but nothing must be fully ruled out.
# Possible Trades-
Positional trades can be buying the metal in the range $1235-$1252 for possible targets of $1280 & $1305 and even higher with a stop loss at $1217 for mid/long term.
If the metal breaks the $1268 on the upside, it can still be bought for the above mentioned targets with a stop loss at $1244.
For positions held from $1218 stop loss should be at $1200
Metal is in a bull run and shorting it for positional returns is not suggested due to low risk-reward and prices tend to move higher after a brief correction in this type of market unless there is any event which might shake the charts for a different outlook altogether.