Gold tried to move above 1300 (R2), but failed once again to overcome it and slid to find support at 1278 (S1). In my opinion, the short-term outlook remains somewhat positive and as a result, I would expect the metal to turn up again at some point in the short run. Nevertheless, our short-term oscillators support that further retreat could be on the cards for now before the bulls decide to take the reins again. The RSI edged lower and now looks able to move below its 50 barrier, while the MACD, although positive, has topped and fallen below its trigger line. A dip below 1278 (S1) is likely to confirm the case and perhaps test our next support level of 1270 (S2). Switching to the daily chart, I see that the close above 1278 (S1) on Friday has confirmed a higher high on the daily chart and signaled the resumption of the prevailing long-term uptrend.