A good ascending trend that broke down the resistance on 1636 mark found a resistance on the mark 1677 dollars for 1 troy ounce of precious metal and stopped, consolidating lower than a given mark.
The resistance is not evident but starting from November 2011 on this level (or around it) there was a significant number of local extremums, probably the same situation is going to occur soon.
The confirmation of the possibility of correction to the previous growth of quotations are doji-candlesticks for previous trading day (Friday), which means the weakness of bulls and growing struggle between buyers and sellers. After Monday the candlesticks have a dark body and a narrow diapason of a trade, which testifies a prolonged struggle with dominating descending tendency.
If a signal is not false, and the correction takes place, it may be around 38 % on Fibonacci levels, which means that the price might descend to 1645 dollar for an ounce.
While entering with current position the stop would be placed on the level of resistance – 1677, which is a relatively big stop, but taking into account a size of potential profit, this risk might be taken.Social button for Joomla