GOLD: With GOLD weakening and reversing its previous week gains the past week, further downside is likely in the days ahead. Support comes in at the 1,320.39 level. This if taken out will pave the way for a run at the 1,300.00 level. Below here will aim at the 1,280.00 level where bulls may come in. Its weekly RSI is bearish and pointing lower supporting this view. On the upside, for GOLD to annul its correction it will have to recapture the 1,367.40 level, a tough call based on its present price action. Further out, resistance resides at the 1,388.95 level, its Mat 17 2014 high followed by the 1,400.00 level, its psycho level. A break will trigger further upside pressure towards the 1,450.00 level, its psycho level. All in all, GOLD remains biased to the downside in the short term.
Article by www.fxtechstrategy.com