SPOT GOLD at new highs; focuses target at $1357
Spot Gold started week in firm bullish tone and extended strong rally of past three days to new four-month high at $1344.
The metal benefited from fresh weakness of the dollar and extended the second leg of steep rally from $1236 (12 Dec low).
Bulls took out the last obstacle at $1340, on the way towards key med-term barrier at $1357 (08 Se high).
Gold price maintains firm bullish sentiment as the greenback continues to fall, with bullish studies ignoring so far strongly overbought conditions on daily chart.
However, corrective action should be anticipated in the coming session, with shallow pullback (ideally to be contained by rising 10SMA at $1322), before final push towards $1357 target.
Res: 1344; 1350; 1352; 1357;
Sup: 1340; 1335; 1327; 1322