Since the gold has rebounded off from its lowest at 1160 and reached highest 1214, the price fell into a 2-months range roughly between 1212 and 1190.
As the dollar dominates the last week of September, the gold finally broke out of its range and chose to resume its falling trend.
If carefully observed, the price tends to retrace and supported by a rising trendline, and when the trendline is broken, the price continues to fall and break new lows.
Where the price is now, it has retraced to the bottom of the broken range and 2 waves of retracement have occurred.
With the dollar set to make huge gains this month, and the gold has chosen to trade below the 2-months range, it is clear that the price will have to fall further.
As the dollar dominates the last week of September, the gold finally broke out of its range and chose to resume its falling trend.
If carefully observed, the price tends to retrace and supported by a rising trendline, and when the trendline is broken, the price continues to fall and break new lows.
Where the price is now, it has retraced to the bottom of the broken range and 2 waves of retracement have occurred.
With the dollar set to make huge gains this month, and the gold has chosen to trade below the 2-months range, it is clear that the price will have to fall further.