Gold has been trading sideways at the price of $1.285.35. We found that Gold lost momentum on the last up swing, which is potential sign of the downward movement.
White line – bearish divergence
Red horizontal line- Support 1
Red horizontal line– Support 2
We found bearish divergence on the Stochastic oscillator, which is sign of the losing momentum on the upside. We also found fial breakout of the Friday's high at $1.286, which is another sign of the wekaness. Support is seen at the price of $1.280 and $1.270. Resistance level is set at the price of $1.287. Watch for potential selling opportunities with the first target at $1.280.
The material has been provided by InstaForex Company - www.instaforex.com