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Gold about to turn lower?
Friday’s rally got crushed in the latter half of the session, leaving gold under the crucial $1264 level and stuck below the 200-day simple moving average (SMA) at $1256 for yet another session.
The next area to watch on the downside is $1240, and then below this to the 50-day SMA at $1234. Following on from this, we have the rising trend off the December low, which would suggest a move back to $1230. A rally has to clear $1264, and then break Friday’s high at $1271.