May find some sellers? Key risk defining level.
Adam has harping on the long gold idea and the last few days has certainly seen a nice run to the upside. However, the precious metal has reached a point where there may be some resistance (or at least some profit taking).
Looking at the daily chart, the pair is currently testing a downward sloping trend line (started in May) AND the 50% retracement of the move down from the same May high. That retracement level comes in at 1154.92. The trend line comes in around 1153. The combination should solicit some profit taking as risk can be defined and limited with stops on a break above. Key level for the yellow metal.
