Gold analysis: Breaks pattern

London (Dec 1)  As a new month started, the yellow metal's price ended its decline in the borders of a channel down pattern. The price broke out of the pattern through its upper trend line. Moreover, the resistance of the 55-hour SMA was quickly broken. 

By the middle of Tuesday's GMT trading hours, the price for gold had reached the 100-hour simple moving average. If the SMA fails to provide resistance, the price could reach for the 200-hour SMA near 1,827.25.

On the other hand, note that the 100-hour SMA was located at the 1,800.00 level, which on its own provided strong support during the last week. This round price level could keep the metal down.

By8:30am EST todayTuesday, spot gold bounced upward $23 to $1808, while spot silver jumped more than 2% to $23.41.

FXstreet