Gold confirms the reversal, but must retrace

Gold managed to break the 0.5 Fibonacci retracement (1205-1259) resistance and settles the day above it, but is due for a retracement. This market looks very strong and gold will find support not far below it's current price: at the 0.5 retracment (1225.5) and slightly below around the 1229 level. It's final support would be the 1225 level. I expect gold to retrace to one of these levels first, presenting a good buy opportunity, before resuming it's rise towards it's 1.27 Fibonacci extension at 1238 based on it's rise from 1215 to 1232, which would be a good place for a small short position before adding to your position on the dip. This market has changed to 'buy the dip' since last week.