Gold needs to overcome overhead resitance

The above chart shows daily price action. XAUUSD looks to have broken out of a pennant pattern (green converging lines). Pennants are continuation patterns. The target of the pennant is near $1,260. However, there is overhead resistance around the $1,240 area (red horizontal).  If the precious metal is to make any further gains towards the target it needs to break above this resistance.

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