Technical analysis:
Gold has been trading downwards as we expected. There is potential for the bigger drop towards the level at $1.855.
Trading recommendation:
Due to overbought condition and the breakout of the inside day formation, I see potential for the drop towards the level at $1.855.
Watch for selling opportunities on the rallies...
Stochastic is showing overbought condition and fresh bear cross, which is another sign and confirmation for the downside rotation.Key resistance is set at $1.916
