Gold reaches for 1,290 level

After a rather flat Monday's trading session the yellow metal began a fast surge during the late hours of the day's trading. On Tuesday morning the bullion's price was located just below the 1,290 mark, and it could be observed that the commodity price faces no notable resistance up to the 1,291.60 level, where the monthly R1 is located at. Most likely the metal will pause near that mark, as the hourly Bollinger bands are indicating that the surge has been exhausted. Afterwards a short period of consolidation could take place, which would later on be replaced with a continuation of the climbing of the yellow metal's price. If the bullion could manage to pass the second weekly resistance at 1,293.85, the way up to the weekly R3 at the 1,307.66 mark would be free.