Gold - Short-Term Downside Momentum Continues
Gold is now consolidating and remains in a range between hourly support at 1157 (19/03/2015 low) and hourly resistance at 1188 (23/06/2015). However, the pair is setting lower highs. We remain bearish over the next few weeks.
In the long-term, the underlying downtrend (see declining channel) continues to favour a bearish bias. Although the key support at 1132 (07/11/2014 low) has held thus far, a break of the resistance at 1223 is needed to suggest something more than a temporary rebound. A major support can be found at 1045 (05/02/2010 low).