Gold trading below daily moving average

Gold is in a downtrend, as it is forming a ‘lower top lower bottom pattern’ and gold trading below its daily moving averages. The yellow metal is currently hovering around a 61.8% retracement level of the previous rise. It is likely to drift lower towards $1190- 1175 in the forthcoming trading session. On the way up, $1220-1235 will act as resistance in the near term. Any minor degree bounce towards this resistance level shall be considered as a selling opportunity as long as the metal does not close above the 40- DEMA, which is currently pegged at $1239. The daily momentum indicator is bullish.