Gold Update

Gold continues to extend gains following the fact that channel support held a few weeks back.

The metal is likely to maintain a positive outlook and continued gains would open 677.60, Feb 28 high and if this level gives way, would open 689.00, the Feb 27 high.

Note that the channel resistance is located at 706.08 while support is at 642.39 and these two points mark the key medium-term boundaries.

Initial support is at 655.50, and should hold near-term if the current positive outlook is to be maintained.

Momentum has improved and continues to offer a positive backdrop.