Gold is currently testing the intermediate resistance of its medium term bearish channel at 1 573 and seems to initiate a decline. However, a break through these levels will release good potential and will be able to reach the upper limit of this one to 1 585.
Technical indicators do not provide clear signals but until the resistance is not broken the assumption of a decline is most likely. Bollinger bands are much discarded as a result of a strong decline these days. Stabilization is expected in a short term.
According to previous events the market will provide a bullish opportunity as soon as the gold has broken through its resistance of 1 573 with the 1st objective at 1 583 and then at 1 585. A break through 1 570 will invalidate this scenario.
