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Gold price is moving higher as expected after breaking above $1,230. Short-term trend remains bullish as price challenges the October highs. Price got rejected at the October highs and is pulling back. There no change in short-term trend as long as price remains inside the bullish channel.
Blue rectangle - major resistanceGreen line - major trend line support
Blue line - short-term trend line support
Purple channel - bullish short-term channel
Gold price is making higher highs and higher lows. Price remains in a short-term channel respecting support levels so far. The most probable outcome would be a break to new short-term highs towards $1,250-60 area. As long as price is above the green trend line the medium-term bullish trend started back in August lows is safe. Short-term critical support is at the blue trend line. Bulls do not want to see the support at $1,220 broken.
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