The strength of the monthly pivot point has proven itself to be strong enough to force the yellow metal’s price into breaking the ascending channel pattern, which guided the bullion since July 11. The commodity price has not only passed the support of the ascending channel, but also various other support levels. Among them are the 55 and 100-hour simple moving averages and the weekly PP. On Wednesday morning the yellow metal had passed one of the last support levels before setting out to plummet down below the 1,240 mark. However, the fall of the bullion might be stopped by the 200-hour SMA, which was located at the 1,241.25 level during the early hours of the day’s trading session.
