Gold – increased risk of drop to 38.2% Fibo

Resistance - $1320, $1327, $335

Support - $1313.60, $1303, $1297.52

• Gold’s failure to sustain above expanding channel resistance for two consecutive session followed by a break below $1320.67 (23.6% of May low-June high) today indicates prices could drop to $1303-1297.52 (38.2% of May low-June high).
  

• On the other hand, only a day end closing above expanding channel resistance would signal continuation of the larger rally from Dec lows.