GOLD FACES NEW HEADWINDS
Whilst prices have remained supported above 1,480 the potential for near-term weakness seems apparent, given yesterday’s 2-bar reversal. Eagle-eyed candlestick traders could note that yesterday’s bearish bar doesn’t quite pass as a bearish engulfing or outside day. Yet the -1.8% decline was the 2ndmost bearish daily range this month
and marks a prominent lower high.Furthermore, a bearish divergence had been forming with RSI since late June to warn of weakness to the trend, although prices need to break beneath 1,480 to confirm a reversal.