Gold Technical Analysis: bullish flag spotted on hourly chart

   •  Persistent USD selling bias helps rebound from the vicinity of 100-hour SMA and the formation of a bullish flag chart pattern on the 1-hourly chart points to an extension of the recovery move. 

   •  Technical indicators on the said chart have started losing positive momentum and hence, it would be prudent to wait for a strong follow-through buying before positioning for any further up-move. 

   •  Today's release of FOMC meeting minutes could provide fresh clues over the central bank's monetary policy outlook and eventually provide a fresh directional impetus for the non-yielding yellow metal.

Gold 1-hourly chart

Spot Rate: $1254.90
Daily Low: $1251.33
Daily High: $1258.17
Trend: Awaits a bullish breakout

Resistance
R1: $1261 (Wednesday’s one-week high)
R2: $1267 (horizontal zone)
R3: $1271 (20-day SMA)

Support
S1: $1251 (100-period SMA H1)
S2: $1246 (horizontal zone)
S3: $1238 (YTD low set on Tuesday)