Gold had hit a fresh 8-week high of $1227 which was followed by a consolidation between the range of $1208-$1220 before the metal had closed at $1121 for the week. This closing above a key hurdle of $1220 shows the gold is trading in a positive bias backed by the fundamentals which broadly supports buying into the metal leading it towards newer highs.
Gold gained $30 this week rebounding from $1188 levels,hitting a fresh high before settling above a key hurdle price point which it was facing from past 2 weeks.
On weekly chart-
Gold now has a support at $1208 which was initially acting as a resistance.
Gold price has moved into the shaded region which has a low of $1220 (A) and a high of $1300 (B). If gold continues to remain in this region, it opens up a big upside towards the next crucial resistance at $1300 levels. Chart has a resistance at $1247-$1248 which is confirmed by the intersecting bullish and bearish ray-lines.
On contrary a conclusive breach of $1208 may lead the metal towards its next support area of $1198-$1200. If this zone fails to hold then a retest of the crucial support at $1182-$1184 maybe on the cards.
Overall the yellow metal is trading with a positive bias with higher levels eyed in coming weeks/months.