Bears guided Gold to a new one-year low on Friday morning. The yellow metal managed to reverse its three-day decline mid-session and consequently gain 1.20% against the US Dollar. This advance was stopped by the 100-hour SMA and a channel line at 1,220.00.
It seems that bulls have not still gained the necessary strength to breach this resistance cluster, so it is more likely that the pair remains under the bearish pressure today. Today’s low should be the senior line and the monthly S1 at 1,202.00. Technical indicators support this scenario.
Traders should look out for the 200-hour SMA at 1,222.00. If this line is breached, a surge up to the monthly PP is very likely.
