• Gold broke long-term support level 1200.00
• Further losses are likely
Gold today broke below the major, long-term support level 1200.00 – the last time this support level reversed the price was in May of 2016, as can be seen below.
The breakout of the support level 1200.00 coincided with the breakout of the support trendline of the daily down channel from the middle of April.
If the price stays below 1200.00 – the bearish pressure is likely to strengthen – which should lead to further losses toward the next support level 1190.00.