Gold closed higher due to short covering on Monday as it continues to rebound off the 50% retracement level of this year's rally crossing. Stochastics and the RSI are oversold but turning bullish hinting that a short-term low might be in or is near. Closes above the 20-day moving average crossing are needed to confirm that a short-term low has been posted. If it renews the decline off June's high, the 62% retracement level of the aforementioned decline crossing is the next downside target.