Gold shook off a rather tired looking technical picture overnight, as tensions in Europe, the Middle East and the Korean Peninsula took precedence and saw Gold vault over $20 to $1275. The safe haven effect is clearly in play once again ahead of the Easter holiday with volumes in both spot and options well above average.
Gold has finally broken and closed above its 200-day moving average at $1257.50 which now becomes support ahead of the $1240 level. From a technical perspective, the way is now clear for a run at $1300 and possibly higher.
Gold opens at its highs at 1275.50 this morning in Asia and any dips intra-day to 1265 should be eagerly sought. With geopolitical tensions, if anything, ratcheting higher, post a G-7 Nations acting like a League of Nations, this will likely remain the theme running through the long weekend.