The yellow metal has declined once more to the lower trend line of the long term descending channel pattern. The commodity price tested the strength of the support line already on Friday. On Monday morning the bullion continued to test the support. If it gets passed, and the pattern is broken, the bullion would retreat down to the 1,198.51 level, where the second monthly support is located at. Meanwhile, if the support line proves its strength, the commodity price might jump back up to the 1,220 mark, where the monthly S1 together with the 55 and 100- hour simple moving averages are located. In either of the cases Monday’s trading session is most likely set to reveal the direction of the metal for the rest of the week.
