In our previous analysis, we favored a bullish scenario for the precious metal. But against our expectations, bulls were not able to resist the selling pressure and Gold broke its long ascending channel to the downside.
Thus, our trading strategy for Gold has changed from hold to a definite sell mode.
We expect the $1356 level to act as a resistance against counter trend rallies and our first target for the decline is the $1290 level.
Disclosure: I am short GLD.