Gold ETF (GLD) price found it hard to close above 140 level, which is a big major resistance area. This area was not only the previous year’s triple top zone area, but also it is the current triple top resistance zone.
The strong resistance holding the price down could lead odds to think the major top is in for gold, at least temporarily.
Strength on the upside has been decreasing since last Wednesday. The Daily momentum indicator showed an overbought condition for gold.
If GLD breaks under 138 line, the price could dip into 136.65. A move under 135.25 line will be bearish.
The odds will then favor a downside move and push price down to 130 area, which is a short-term major support line.