Gold has fallen in recent days from its all-time highs to come back to trendline support.

Gold has retraced 4% from its highs over the last week's trading sessions and looks to have sounds some support on the trendline below. The recent rally in US stocks this week has helped the metal gain value as the US dollar dropped slightly. Trendline support dates back to late February with support now at $2,312. A break below this level could see gold head towards $2,291 and then $2,219 in an extension of this. Towards the upside, the price is currently capped at $2,395. A break above this level would see gold hit fresh highs.

Most banks are expecting gold to stay around its current levels or come slightly down, with average price targets of about $2,150 - $2,250 from the likes of JPMorgan, Barclays and Morgan Stanley. It is also worth considering that right now on the daily timeframe, MACD is firmly negative with no indication of a move back bullish as of yet, the chart also sis in the lower Bollinger Band with resistance above at $2,344. Long positions would have to be held with caution, however, shorting might also not be favourable right now the overall trend still remaining bullish with momentum fading right now.