Gold Extends Early Losses, Hits 3.5-month Low, on Technical Selling; Sell Stops Hit

San Francisco (May 27)  Gold prices are sharply lower and have fallen to their daily lows and hit a 3.5-month low in late-morning dealings Tuesday. Technical selling pressure is featured as the near-term chart posture for gold has deteriorated rapidly this week. Sell stop orders were triggered when key technical support levels were breached on the downside. The gold market bears once again have the firm near-term technical advantage. June gold last traded down $25.20 an ounce at $1,266.10.

Spot silver is down 32 cents at $19.08; Spot Platinum is off $15 to $1463, while spot palladium is down $5 at $830.