XAUUSD (1308.46): Gold prices slipped from intraday high of 1318.07. However, price remains firmly within get bullish flag pattern that is formed on the daily chart. With the market sentiment a bit choppy, we expect this to be reflected in the price action of gold. The resistance level sits at 1321.27 which could be tested in the near term. There is also a potential ascending triangle pattern that is currently shaping up on the 4-hour chart. A successful upside breakout from this ascending triangle could potentially validate the bullish flag pattern with further gains likely in store to the upside. If the minor rising trend line is breached, we could expect to see some declines in store to the downside with the flag pattern being invalidated.
