Gold Technical Analysis: Bearish continuation pattern sighted

• Gold has created a large pennant pattern, the hourly chart shows.
• A downside break of the pennant would signal a resumption of the sell-off from the high of $1,326 has resumed and would open up downside towards $1,260 (pole height subtracted from breakdown price).

Hourly chart

Current Price: $1,295

Daily high: $1,296

Daily Low: $1,294

Trend: Bearish below $1,293 (pennant support)

Resistance

R1: $1,303 (June 7 high)

R2: $1,307 (200-day MA)

R3: $1,313 (50-day MA)

Support

S1: $1,288 (June 1 low)

S2: $1,282 (May 21 low)

S3: $1,275 (100-week MA)