Gold is jammed within the confines of the downward channel. The publication of yesterday's US GDP news had a negative impact on the metal's pricing.
After the false breakdown of the resistance of the descending channel, the momentum is formed and the price breaks the support 1988. On the next retest, the price has consolidated under the strong level.
Here is what we have: MA-50 and MA-200 on the hour timeframe act as resistance, price consolidation under the strong level, downtrend.
Also on the daily chart (top right) pay attention to the price squeeze to the area 1980-1981. A pre-breakdown consolidation is forming which is preparing the price for further decline.
Strong support: the lower boundary of the symmetrical triangle, the level of 1981
Strong resistance: the level of 1988, the resistance of the descending channel.
I expect that in the nearest future the price will still break the support and will continue its fall to 1970 and maybe even to the support of the descending channel
After the false breakdown of the resistance of the descending channel, the momentum is formed and the price breaks the support 1988. On the next retest, the price has consolidated under the strong level.
Here is what we have: MA-50 and MA-200 on the hour timeframe act as resistance, price consolidation under the strong level, downtrend.
Also on the daily chart (top right) pay attention to the price squeeze to the area 1980-1981. A pre-breakdown consolidation is forming which is preparing the price for further decline.
Strong support: the lower boundary of the symmetrical triangle, the level of 1981
Strong resistance: the level of 1988, the resistance of the descending channel.
I expect that in the nearest future the price will still break the support and will continue its fall to 1970 and maybe even to the support of the descending channel