Gold bullion eased off its four month high moderately, bouncing off the Fibonacci extension 141.4% at $1,282, as profit taking creeps in amid last week’s hefty gain. The precious metal continues to be well supported ahead of the week two important events, ECB monthly meeting announcing and the Greek parliament election.
Peaking at the Fibonacci extension 200.0% on the H4 chart, XAUUSD has edged back modestly, well supported at the 1270 level.
Holding off the resistance at $1,281.90, Gold has been capped in a range bound motion on the H1 chart. Should the commodity fizzle out of steam, candle could reverse downwards, breaking down to the support level at 1,257.