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Break below $2,024 delivers more downside for Gold

Since my last update here much earlier this morning gold has seemingly sparked some stop loss selling, after the metal did fall below the lows seen on Friday afternoon, just above $2,024 per ounce. The fact that gold came under fresh selling pressure seems independent of anything else that surrounds it right now and especially despite no further gains in US treasury yields. In that sense it seems a little surprising. The low seen earlier was set at 2,016.96. It has rebounded from that low since then, but the move to just above the breakdown level seems rather indecisive so far. The failure to reclaim any levels above its 21 day moving average today might have helped sellers to exit long gold trades too. That is in place right now at 2,036.26. Gold is currently trading at $2,022.10 

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