Price falls below the 200 hour MA
Gold lost some it's technical sparkle after the double hit from a US/China truce at the G20 and the surprise meeting with Pres. Trump and North Korea's Kim where they restarted de-nuclearization talks.
Technically, the price gapped lower over the weekend and in the process fell below its 200 hour moving average currently at the $1400.25 level. Stay below that MA (and natural resistance level at $1400) would keep the sellers more in control in the intermediate term. We currently trade at $1392.88, down -$16.70 on the day.
Not is all so bearish. Staying on the hourly chart below the price is still above a lower trend line at $1381.50 currently. It is also above the 38.2% of the move up from the May 21 low at $1374.41. There is work to do to increase the bearish bias and breaks of those levels would increase the bearish tilt. Right now being below the 200 hour MA is a tilt in the bearish direction, but the correction is still "plain-vanilla" with the price above the 38.2% retracement level.
Taking a broader look at the daily chart below, the price rise in June, took the price above the 38.2% of it''s move down from the 2011 high at $1380.59, and above swing highs going back to 2014. Today, the price has moved back below the $1392.33 swing high from 2014 (the low reached $1381.90 - we trade around that level now). but remains above the 2016 high at $1375.34 and the 2018 high at $1366.15.
Moving back below those swing high levels will weaken the technical picture, and have traders talking about a failed breakout. Until then, the buyers still are in the gaime for control.
So, the technical picture weakened below the 200 hour MA (stay below $1400 sellers), but there is room to go before traders give up on the run higher.
