Gold Will Probably Continue Falling

Gold bounced off from the resistance at $1,357 after forming a shooting star candlestick on the daily time-frame, ending a move to the upside that lasted well over two months. Currently the precious metal is still very bearish and it is testing the support at $1,290. A likely breakout below that level will probably lead to another drop towards the next support, which coincides with the (MA)89 indicator on the daily time-frame and is at $1,279. A breakout below that support will likely be a signal for a further move to the downside towards the (MA)89 indicator on the larger time-frame – the weekly one – which is currently at $1,250.