Gold made new highs today, and extended above the 200 day MA at the$1642.95 level. The break above the 200 day MA triggered stops and the price reached the day high of $1644.77. The price move failed and the sellers/profit takers have moved the price back down.
The move higher from last weeks low $1589.15 to $1644.77 seems to have found the equilibrium target. I would expect patient sellers now with risk on the next move above the $1644 area. A move below trend line support at $1637 should solicit selling interest to the 1623-26 area where the high from August 10th and the 38.2% retracement of the move up is found.
