"It is a significant breakdown," Commerzbank technical analyst Karen Jones said. The immediate level is going to be the 200-day moving average (at $1,259), and then you've got the 55-week moving average at $1,221. "However, given the trendline break and the momentum of its latest move, she said, "you have to assume it will retest the low we got in May, which is nearer to $1,200. "In case downward momentum gains further traction, the trend line since 2013, at $1,200, should act as a floor. "It is important to be clear about the different time frames here," technical analyst Cliff Green , of the Cliff Green Consultancy , told the Reuters Global Gold Forum.

Source: Economic Times October 06, 2016 11:03 UTC