Gold breaking lower side of bullish channel confirmed : Technical Analysis

The bullish channel developed last November ended this week, as yesterday the shiny metal broke the lower side of the bullish channel and today and today it traded below yesterday levels, confirming the selling pressure on gold.

Next bearish test in area 1,900 $/oz, the 200 day SMA. Beneath this level a more structured bearish wave is likely to be developed. Bulls in control only above the breakout of the supply line that links lower highs, that worked quite well to push away bullish forces last month an this month as well.

The shiny metal is trading at 1,917.86 $/oz , down 0.39%