Gold up by over 0.8% on the day currently
Gold is extending its rebound above the $1,800 level in trading today after managing to close above that following a solid bounce yesterday.
The high now touches $1,832 and we are seeing buyers seize more near-term control on a push back above the 200-hour moving average closer to $1,817.
That now sees the near-term bias shift to being more bullish with buyers eyeing a move towards the 38.2 retracement of the recent swing move lower @ $1,841.50.
Amid the flush back below $1,800, the downside move appears to have stalled near the 50.0 retracement level of the swing from the March low to the August high.
The key for buyers now is to maintain the break above $1,800 and the key hourly moving averages @ $1,817.77 and $1,798.43 will act as key support levels.
There's a compelling case for dip buying in gold in the big picture and buyers aren't shying away from that as seen over the past few sessions.
Adding to that is that seasonal factors are starting to come into play and that is also perhaps a good reason for gold to keep a more positive momentum heading into January.
