Gold breaks key support

Gold breaks key support at $1220.

Gold breaks the key support at $1220.  This support is where we had a previous turn in the market and breaking under this opens the move for sellers to go for the psychological support of $1200.  At this point the 200MA is at $1258, the 50MA has not crossed but is turning back down at $1250.

The international currency trade has also had a large fall off in volume.  With the French elections over and volatility coming out of the market this could push gold further down.  The December to April uptrend has also cracked and a 50% retracement would find support at the $1203 area.