The resistance has been established at the 61.8 percent Fibonacci retracement on the fall from the April 14 high of $1,330.90 to $1,268.24. Coincidentally, a trendline descending from the March 17 high of $1,391.76 has provided a similar resistance.
Gold's failure to break the trendline signals a resumption of the downtrend from $1,330.90. A break may trigger a gain to $1,316, the 76.4 percent retracement. However, the gain is likely to be followed by a pullback towards $1,307.
The views expressed are his own.
No information in this analysis should be considered as being business, financial or legal advice.
Each reader should consult his or her own professional or other advisers for business, financial or legal advice regarding the products mentioned in the analyses.