Gold resumes the upside momentum and is very close to hit a first major upside target in the upcoming days. Is taking advantage of the USD’s indecision, we’ll see how will react in the afternoon after the United States data will be released.

The US numbers could have some impact on the yellow metal, but this maintains a bullish perspective on the daily chart. Technically is expected to approach and reach new peaks amidst the global political tensions.

Gold continues to move in range on the short term, but a breakout from this range looks imminent because is located in the buyer’s area. More buyers will get involved if will make a minor consolidation in the next few days.

I’ve added the USDX’s Daily chart to show you better what’s happening with the USD and with the GOLD from this point of view. The index rebounded after the failure to reach the 92.49 static support, but the upside and now is expecting a helping hand from the US economy.

Could move sideways between the 93.81 and the 92.49 static support before will really start a larger rebound. A valid breakout above the lower median line  (lml) and above the 94.00 psychological will signal a USD’s dominance and Gold potential drop.

Price managed to jump above the 38.2% retracement level and now is heading towards the 23.6% retracement level and towards the $1295 per ounce, where he could find resistance again. Could hit also the 150% Fibonacci line (ascending dotted line), where he may find resistance again. However, the next major upside target will be at the first warning line (WL1) of the major descending pitchfork. The perspective is bullish as long as is trading above the warning line (WL1) of the former ascending pitchfork.

Another leg lower is off the table right now, is expected to climb much higher after the valid breakout from the major descending pitchfork’s body. A major rebound will be confirmed after a breakout from the extended sideways movement.