• The yellow metal surged higher on Tuesday as the bright metal was lifted higher by weak dollar and negitive US housing data.
   
• Data released from the US market showed US housing starts slipped more than expected in march  and permits for future construction hit one year low.    
   
• Gold rose sharply towards higher levels in the early US session, however after finding resistance at 1256 it has retreated slightly to trade around 1252 levels.
   
• Any downside is expected to be limited around 1230 levels as the support level located at 1228 is likely to hold the bears from falling further below and bring a rebound back towards higher levels.
   
• To the upside, the strong resistance can be seen 1256, a break above this level would expose the commodity towards 1262 levels.
   
• To the downside immediate support can be seen at 1246, a break below at this level will open the door towards 1239 levels.
  
  Support levels: S1-1246, S2-1239, S3-1228
  
  Resistance levels: R1-1256, R2-1262, R3-1270