Technical analysis:
Gold has been trading downside as I expected. The price reached the first downside objective at the level of $1699.I see potential for the further downside movement.
Trading recommendation:
Due to the strong downside pressure and breakout of the upside channel in the background, I see potential for the further drop.
Watch for the potential selling opportunities on the rallies with the downside objectives at the price of $1.660 and $1.643.
MACD oscillator is showing fresh downside momentum, which is strong sign that sellers are in control.
Key resistance is set at the price of $1.727