Following a rather calm Thursday morning, Gold was pressured lower by the strong resistance of the 55-hour SMA. As a result, the pair failed to reach the upper boundary of the dashed short-term channel.
This three-hour decline was stopped by the 38.20% Fibonacci retracement located at 1,316.67 where the pair had remained during the Asian session, as well. Some moderate downside potential is still apparent in the market today.
Meanwhile, high volatility is likely to occur mid-session after the US Advance GDP is released at 1230GMT. In general, the pair might be reluctant to push above the 1,330.00 mark, while no strong support levels are restricting the pair until the distant 1,300.00 where the 50.0% Fibo, the monthly S1 and the senior channel are located.
