Gold Technical Analysis: Bears await a sustained break below 1-month old trend-line support

   “¢   The precious metal remained under some heavy selling pressure for the third consecutive session on Friday and dropped to challenge one-month-old trend-line support.

   “¢   Sustained weakness below 200-period SMA on the 4-hourly chart – for the first time since Nov. 30, was seen as a key trigger for bearish traders and prompted some technical selling.

   “¢   Moreover, oscillators on the daily chart have just started gaining negative momentum and support prospects for an extension of the ongoing slide from 10-month tops set on Feb. 20.

   “¢   Meanwhile, indicators on hourly charts have started drifting into the oversold territory and turned out to be the only factor that helped limit deeper losses, at least for the time being.

   “¢   Traders, however, are likely to wait for a convincing break through the mentioned support before positioning for any further slide towards testing the key $1300 psychological mark.

Gold 4-hourly chart