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Gold Due for Larger Correction

Gold (daily chart) as of Monday (6/13/2011) has dropped back down to hit a key uptrend support line extending back to the January low around 1308. This occurs after price hit a high of 1553 one week ago, which failed to re-test the 1575 all-time high that was reached in early May. The near-term directional bias currently appears bearish in line with this price failure, and a larger bearish correction could soon be due. For more gold technical analysis, please click here.

James Chen, CTA, CMT
Director of Technical Research and Education