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Gold - Double Attempt Spotted in the 4H Chart

Gold has been bearish since falling from the July high around 1345. Last week, price found support at 1208 and rallied to 1234.30 before falling again. The 1208 level held again, essentially suggesting consolidation, or even a double bottom.

(Gold 4H Chart 9/29)

Now, with the prevailing downtrend intact, our anticipation should lean towards the bearish breakout. A break below 1208 would open up the 1200 handle, as well as the 2013-2014 lows just above 1180. 

However, a break above 1235 would complete a double bottom and put price above the 100-period SMA. In the very short-term the bullish outlook has upside towards the 1255-1260 area, which include a previous support/resistance pivot as well as the 200-period SMA.