Gold Is Likely about to Start Falling

Gold found a significant resistance level at $1,244 well over a week ago and it hasn’t been able to break above it ever since. The precious metal has tested that level several times now and the double top that had formed has turned into a triple top that is most obvious on the four-hour time-frame. Combined with the shooting star candlestick at the same level on the daily time-frame that is an unambiguous signal for a new move to the downside. If it is valid Gold will likely start dropping soon and its first target will probably be at $1,225, which coincides with the (MA)89 indicator on the four-hour time-frame again. A breakout below that will probably result in a further move to the downside towards $1,216, which is both the previous low and the (MA)89 indicator on the daily time-frame.   It remains to be seen, however, whether this is the end of the overall bullish trend.