Tuesday was a terrible day for gold. Depreciation was one of the highest since February. The session also has left a very negative impact on the situation of the technical chart. Declining channel was broken out in the bottom, which kept prices in check since the beginning of July. What worse upward trend line was also broken, over which the price of gold remained since December 2015 and support at $1,300.
The closest support is at $1,250 while the goal of declines before bulls can come back on the market may be the level of $1200. The situation would improve only if the price of gold came back above the level of $1300, and Tuesday’s minimum with a low of December would draw new trend line – uptrend line.
