Gold fails to fall below $1240, good to buy on dips

• XAU/USD is currently trading around $1245.
   
• It made intraday high at $1246 and low at $1242 levels.
   
• Intraday bias remains slightly bullish till the time pair holds key support at $1240 marks.
   
• A sustained close above $1240 will take the parity up towards key resistance levels at $1248/$1252/$1268 marks respectively.
   
• On the other side, a daily close below $1240 will turn the bias bearish and drag the pair towards key supports around $1232/$1227/$1218 marks.
   
• Later today, US will release HPI and flash manufacturing data. This will provide further direction to the parity.

We prefer to take long position in XAU/USD around $1243, stop loss $1237 and target $1252/$1268 levels.