Gold took off at the end of July, right after the break of an important pivot 28288 and headed for a very critical resistance at 35074.
We had covered this in our older video on gold here - http://www.youtube.com/watch?v=KlOwXyi0duc

Coming to the present, Gold has since then failed to cross over this critical resistance at 35074 even after making a new life-time high. After failing to sustain at higher levels we took an exit signal at the break of support at 30491 and in the last trading week we've seen the precious metal slip further lower, recently closing at 28441.5.

We're still out of Gold & would suggest investors to stay out for a while until & unless Gold does not breach important resistance levels. Strong resistance levels for Gold lie at the recent high 35074, but more importantly at 32735.5 & 31828.5, minor resistance lies at 29385. Since the commodity is moving lower, as of now we need to look at support levels which are at 27875 & 25635. Breach of support at 27875 would not be a very good thing for the commodity; as it will weaken further & the lower support mentioned below that at 25635 is only a weak support.

To move up and continue the bull run, Gold will have to sustain above the recent closing price & well above 32735. The zone between 32735 & 27875 will act as a sideways zone & Gold will have to break above this to be ready for investors to enter in it again.

We signaled an exit from Gold on the 25th of Jan 2013 at the break of 30370 and gold has since lost about Rs.10,000 from it's life time highs.

Recently Gold has shown some developments, it has established a signal level or resistance level at 28288, which says that if Gold breaks above this level we will see a up-move beginning in it.

But so far Gold has remained downwards, so let's talk about supports available in Gold. An important support that Gold is at right now is 24700, this support level needs to be held for some time to begin an up move. If Gold breaks below 24700 then the next support level below this is at 22450 at which we will see Gold holding base for a long time.

Supports - 24700, 22450
Resistances - 28288