Gold price declined recently and tested the $1,275 support area against the US Dollar. The price started a solid recovery later and bounced back above the $1,280 and $1,282 resistance levels.
There was a close below the $1,288 resistance and the 50 hourly simple moving average. Moreover, there was a break above a major bearish trend line with resistance at $1,287 on the hourly chart.
The price is now trading well above the 50% Fib retracement level of the last decline from the $1,298 high to $1,276 low. The current price action is positive and it seems like the price may rise towards the $1,292 or $1,294 resistance levels.
On the downside, the main support is at $1,288, below which the price may extend losses towards the $1,285 or $1,284 support level in the near term.
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