Yesterday Gold managed to break above the 1,329 resistance but it got rejected. Gold has most probably made 5 waves up from the low of 1,305 and we expect a small pullback towards 1,315 to take place. We are bullish as long as the prices trade above 1,305. It is important to note the important resistance and support levels but also to make a good position and risk management when it comes to this bullish view. We are going to enter the minimum position possible long near 1,315 with 1,305 stop and will add to this position if the prices break above 1,330.

This way we are going to take part in the bullish move upwards if the prices confirm our view and move towards 1,330. But if Gold breaks our stop level then we would have risked a minimum position. If our view proves correct, then the resistance at 1,330 will break and we will add to our long position. Our initial target, if resistance at 1,330 is broken, is the 1,375 high and then 1,390-1,400.

Gold seems like it has found support above 1,300 and we could soon expect an upward move. We are cautiously bullish near 1,315 with stop at 1,305.