Gold attempts to regain ground
Gold managed to break below the important $1264 support yesterday, in a continuation of the weakness seen over the past week. The price is currently attempting to regain ground following that sell-off, yet with a bearish rising wedge being formed, there is a good chance that this upside is short-lived.
An hourly close below $1261 would provide a reliable signal that we are set for further downside. Alternately, given the strong move lower yesterday, a bounce is certainly a possibility, with the Fibonacci resistance levels subsequently coming into view.