Gold bugs are having a time out today as the precious metal is decreasing in price due to a sharp upward move in the US dollar. Gold reached a low of $1,227 and is now trading at $1,230. Although the precious metal is down today, the bullish move remains intact.
Gold started to appreciate when it reached a low of $1,121 in December last year and went as high as $1,244 just a few days ago in the beginning of February this year.
Market sentiment remains bullish and we can expect the momentum to keep pushing the price up to a possible first target of $1,250, second important price level is the 200SMA which falls on $1,260 and major bull target is seen at $1,380.
On the other hand, if bears take control, price is expected to revisit first support at $1,200, second at $1,180 and third and major support at $1,130.