Gold had once again pulled back from an early climb yesterday. The market opened at 1790 early in the Asian session. During the European session, an upwave had been triggered by the price breaking out from the trendline (1) and the resistance line 1792. It reached the day-high 1800 at the opening of the US session, then selling had begun. The price visited day low near 1784 and the day ended at 1788.

The buying momentum has not been able to accumulate while the uptrend channel (2) failed to take shape yesterday. After all, the price is now resuming position back to the 1770-92(4) range. The price will be under pressure by the newly formed downtrend channel (3) in S-T. For the rounding bottom mentioned yesterday in the 1-hour chart, the price will need to stay above 1780 in order for it to stay in shape.

After the Dec. 15 uptrend was completed, gold has been remaining weak on the daily chart . The price is still contained by the 1770-1815 range and the 20 days MA will provide S-T support for today.

S-T Resistances:

1800-03

1797

1792

Market price: 1788

S-T Supports:

1788

1782-90

1777

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