Gold stays below the 50% midpoint today. Sellers remain more in control

Technical Analysis

Author: Greg Michalowski | gold

Down -0.45% on the day.

The price of gold has moved lower in trading today. It currently trades at $1920.30, $-8.45 or -0.45%. The low today has reached $1914.31. The highs extended to $1937.56.

Down -0.45% on the day.
Technically, yesterday the price moved up to test its 100 hour moving average (blue line in the hourly chart above). Sellers came in near the level and push the price back to the downside.

In trading day the corrective high off of the Asian low stalled ahead of its 50% midpoint of the range for August. That level comes in at $1939.41. The high price today reached $1937.56. The falling 100 hour moving average is currently right near that 50% retracement level at $1939.32. Needless to say stay below the 50% retracement and the 100 hour moving average keeps the sellers more in control.

On the downside the next target comes against day lower trend line connecting recent lows from August 17 and August 21. That trend line comes in around the $1903 level. A move below would open the door for a retest of the August 12 low at $1863.15.

Sellers remain more in control in the precious metal. It would take a move back above the $1939 level to tilt the bias back higher.  

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