Comex gold futures prices closed sharply lower, near the session low and hit a fresh three-week low Thursday, as near-term technical damage was inflicted and safe-haven buying interest disappeared. August gold closed down $37.90 at $1,208.00 an ounce. Spot gold was last quoted down $35.20 at $1,207.50.
[cont’d] August gold futures saw significant near-term technical damage inflicted Thursday, as prices dropped below what was solid technical support at the last “reaction low” on the daily bar chart, at last week’s low of $1,225.20, which has at least temporarily negated the near-term price uptrend on the daily chart. The gold bulls do still have the overall near-term technical advantage, but did fade Thursday and need to show fresh power soon to avoid further near-term chart damage. Bulls’ next upside technical objective is to produce a close in August Comex gold futures above solid chart resistance at $1,250.00. Bears’ next downside price objective is closing prices below psychological support at $1,200.00. First resistance is seen at $1,216.20 and then at $1,220.00. Support is seen at Thursday’s low of $1,205.30 and then at $1,200.00. ——– Kitco.com