Tight trading range for gold ?

Last few days gold is trading in a relatively tight trading range, Bollinger bands (MA= 50, STD =2) on the one hour charts are tight and a breakout one way or another should soon follow. As previously said, I expect gold and silver to move higher but it is possible that gold will first move little bit lower (~620$) – a final speculators shakeout.

As you can see on the one hour spot gold chart below, the price of gold is trading between the 61.8% and the 50% Fibonacci lines (630$ - 640$). More support at ~620$(76.4%) and resistance at 648$(38.2%). As for the longer term picture for gold – No change and no need to update the daily and weekly charts I posted several times during the last week or so. (See the archive).

Click on the chart below for larger view.