Gold closed lower on Wednesday as it extended the short covering decline off last week's high. The low-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI are turning neutral hinting that a low might be in or is near. Closes above the 10-day moving average crossing are needed to confirm that a short-term low has been posted. If it renews last week's decline, the 50% retracement level of this year's rally crossing is the next downside target.
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