Commentary of the XAU/USD parity:

The gold is currently testing its support at 1100. The price just fake a break out but if finaly get back above this level. Indicators of the parity are bearish but we advise to trade only long positions as far as the price is above 1100. THe fibonacci retracement 50% at 1125 should act as resistance. However, a break out of 1100 will offer a sell signal bu we will stay neutral on thep parity.

See the previous analysis of the XAU/USD parity of March 22, 2010