Gold has been trading downwards. The price tested the level of $1.304.77. Bearish momentum is still going on, be careful with buying.
According to the M30 time – frame, I have found double fail tests of the high at $1.310.65, which is a sign that buyers don't have power for any strong push. Gold did break the rising trendline, which is another sign of weakness. Bearish divergence on the MACD oscillator is another sign of waning buying power. Resistance level is seen at the price of $1.310.65 and the support is seen at $1.292.40. Watch for a bearish flag before you sell.
Trading recommendation: We closed our long position on Gold on the breakeven and we are looking to short Gold. If you are aggressive, you can sell from $1.302.00 with the take profit at $1.292.50 and protective stop at $1.311.00.The material has been provided by InstaForex Company - www.instaforex.com