Gold price has reached $1,350-55 area but selling pressures are forming a short-term bearish reversal formation while price is now more than 10$ lower from today's highs. Gold price is expected to move lower.
Red rectangle - first target if support fails to hold
Blue line - major resistance trend line
Black line - short-term resistance trend line broken
Gold price is showing rejection and reversal signs once again from the $1,350-60 resistance area. Gold price is expected to move lower towards $1,330 and if support at $1,320 is broken then we should see prices fall further towards $1,300. Last Friday's daily reversal candle gave us important information about the strong resistance at $1,350-60 and how sellers remain stronger at this level. Today we have confirmation of these information which is a bearish sign for Gold. The recent price action confirms the importance of the $1,350-60 area and breaking above it would be a very bullish sign. Until then risk reward favors bears.
