#1,730.80 Support breaks engages the Selling sequence

Gold's general commentary: Interesting turn of the events on the Short-term, as Gold was rejected strongly within the Resistance zone late last week, as DX is on a Short-term recovery. #1,730.80 Support variance (where I will be ready with my Selling orders to pursue lower Targets) is my main point of interest, and break of could easily engage the aggressive Selling sequence towards Lower Low's first extension, currently Trading on #1,705.80. It is important to note that Medium-term on Gold stays Bearish and next extension should be #1,705.80, as Gold should continues to Trade within Neutral zone on Short-term. If #1,705.80 extension breaks, most likely Gold will pursue the #1,678.80 Lower Low second extension. Last time Gold rejected the Price-action on Daily chart #MA50 (November #9), Gold dipped more than #80 points on the aftermath.


Technical analysis: I was far from impressed by U.S. session opening on Friday, since it didn’t delivered what I was expecting - firm ground for new decline. Bearish pressure point of #1,744.80 was broken on multiple-occasions (and rebounded nicely on the Top of the Channel Downl) but didn’t made significant move downwards, and distorted all correlating assets, stalling the downtrend. DX was on gains, Bond Yields on parabolic uptrend, Gold was following but yet again bounced back on Support upper zone and is now approaching consolidation Rectangle, visible on Hourly 4 chart. Gold remains under Selling pressure, and on top of that - both Fundamental reports which should statistically bring the Selling pressure, had no effect on the Price-action. Despite the Bearish developments on Technical background regarding all charts, the driving forces behind last week's mini recovery remained unknown. However, with the Daily chart fully Bearish, Medium-term Bearish outlook is intact and if the market closes below or break #1,730.80 Intra-day, I have Selling opportunity on the table early on throughout U.S. session opening. Any position from current variance would be a gamble and that’s why I will approach with breakout points. Without any Short-term catalysts, don't be surprised if Gold stays Neutral for #1 or #2 sessions. My model leans more on Selling side, more than Buying.


My position: I am currently without a position, waiting for a firm breakout. #1,730.80 Support is my main point of interests, if broken / Price-action will trigger my Selling orders where I will be ready to pursue #1,705.80 extension (with first Support zones seen at #1,720.80, and #1,712.80, which could stall the downtrend). On the other hand, I am not interested in Buying unless #MA50 breaks on Daily chart, currently Trading within #1,755.80 - #1,760.80 configuration, and break of can engage #1,788.80 variance in motion (less likely).