Technical outlook and chart setups:
1. Gold fails at $1,268.00 and retraces lower taking out support at sub $1,235.00 levels during early trading hours today. It is recommended to sell on rallies towards $1,249.00/50.00 from here on. Risk remains at $1,262.00/65.00.
2. Immediate resistance is now at $1,260.00/61.00 (intermediary), followed by $1,267.00/68.00, while supports are spread through $1,220.00, followed by $1,209.00 and lower.
3. Watch out for support and a bounce around $1,210.00 for initiating long positions. A failure at that level would indicate further downside below $1,180.00.
Trading recommendations:
Initiate short positions around $1,249.00, stop is at $1,265.00, target is $1,210.00.
Good luck!