Gold London PM (U.S. $596.25)

Gold has tracked along beneath its 200-Day Moving Average for a month. It has now run into downtrending channel resistance that coincides with important round-numbered resistance in the area of $600. With this in mind, I have once again moved to consider the intermediate term trend.

As I see it, the intermediate term outlook is decidedly negative, so much so, that I have shifted my longer term view from positive to neutral. This, in order to express concern that we may have launched a long term downtrend from the recent $700 high.

My intermediate term trend downside target remains in the area of $500.