Support - $1260, $1253, $1247
Hourly chart pattern - Rising at risk of being breached, price divergence
Daily chart pattern - Possible head and shoulder formation
- Gold's price divergence on the hourly chart if followed by a hourly closing below rising would indicate increased risk of a drop to $1153 levels.
- A day end closing back below falling (black) seen on the would increase risk of the XAU/USD forming head and shoulder pattern with neckline around $1195 levels.
- On the higher side, an hourly closing above $1172 would expose hurdle at $1284. Only day end closing above $1284 reduce the probability of prices forming head and shoulder.