The 100 hour MA catches up to the price
Gold dipped early in the late Asian session, falling below the 100 hour moving average for the first time since August 1. That level currently comes in at $1495.84 (see blue line in the chart below) .
That break lost momentum quickly, however, and the sellers turned to buyers on the failed break. The high today has reached $1508.52. The low extended to $1487.48.
Although higher on the day (up about $9.50 now), the contract remains in a three day trading range mainly between $1490 and $1510 (give or take). The 100 hour MA is now between those two extremes.
Overall, the buyers still remain more in control. The corrections have been modest (well short of the 38.2% retracement at $1468.32). The sellers attempt to take the price lower today and below its 100 hour moving average failed. That too keeps the bulls more in control. It would take a move below its 100 hour moving average and the $1490 level to tilt the corrective bias back to the downside.
Needless to say a break of the $1510.19 high would be more bullish and should lead to additonal upside momentum as the trend higher continues.