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Bear Flag Formation

GOLD TECHS
  • RES 4: $1783.2 - High Aug 16
  • RES 3: $1765.5 - High Aug 25 and a key resistance
  • RES 2: $1732.6/35.1 - 50-day EMA / High Sep 12
  • RES 1: $1688.9/1707.1 - Low Sep 1 / High Sep 14
  • PRICE: $1672.4 @ 07:20 BST Sep 23
  • SUP 1: $1654.2 - Low Sep 16
  • SUP 2: $1640.9 - Low Aug 8 2020
  • SUP 3: $1610.5 - 1.00 proj of the Jun 13 - Jul 21 - Aug 10 swing
  • SUP 4: $1569.1 - Low Apr 1 2020

Gold is consolidating and the recent pause in the downtrend appears to be a bear flag formation. This pattern reinforces a bearish theme. The recent break of support at $1681.0, the Jul 21 low, confirmed a resumption of the downtrend that started early March. Attention is on $1640.9 next, the Aug 8 2020 low. Key trend resistance has been defined at $1735.1, the Sep 12 high. Initial resistance is at $1688.9, the Sep 1 low.

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