Technical analysis:
Gold has been trading downwards as I expected yesterday. The price tested the level of $1.545 and reached our first downward target. The breakout of $1.545 would confirm test of our second target at $1.535.
The breakout of the well-defined upward channel in the background was the key for the recent downside movement together with the lack of demand around $1.592.
Watch for selling opportunities on the rallies and potential rotation down towards the $1.535.
MACD oscillator is showing negative reading below the zero and the slow line is turned to the downside, which adds confirmation for further downside.
Resistance levels are set at $1.562 and $1.571.
Support levels are seen at the price of $1.545 and $1.535.
