Possible bull flag on Gold

XAUUSD

The price broke through the major psychological resistance at 1,200, which was also a major polarity change as the old support/new resistance, and right after the break it has been stalling just above this level forming something of a double top.

I am looking at this as a bull flag at the moment as long as we are trading above the rising trendline from last December. I will be entering a smaller long position if we get a strong rejection higher and will scale in once we’ve broken the current highs at 1,220 and target 1,250.

I will also consider taking a short position if we get a close below 1,200 as it would trigger a double top scenario for a possible move towards 1,150.