Gold Technical Analysis: Flirting with contracting wedge support ahead of US macro releases

   •  The precious metal continued with its consolidative price-action between two converging trend-lines, forming a symmetrical triangle/pennant on the 4-hourly chart.

   •  Against the backdrop of the recent decline, the contracting wedge might be categorized as a bearish continuation pattern, suggesting a pause before the resumption of prior trend. 

   •  Technical indicators on the mentioned chart have already started gaining negative momentum and add credence to the bearish formation/near-term negative outlook.

   •  A slightly positive US macro data - final Q2 GDP print and durable goods orders might be enough to trigger the required negative momentum and encourage bearish traders. 
 

Gold 4-hourly chart

Spot Rate: $1194.16
Daily High: $1198.64
Trend: Bearish

Resistance
R1: $1198.64 (current day swing high)
R2: $1201.04 (R1 daily pivot-point)
R3: $1204.21 (weekly top set on Monday)

Support
S1: $1190.55 (overnight swing low)
S2: $1187.75 (monthly low set on Sept. 11)
S3: $1183.47 (S2 daily pivot-point)