Gold traded lower on Friday after it hit resistance at the 1235 (R1) hurdle. Today, during the early European morning, the metal is testing the 1215 (S1) support zone, where a clear break could set the stage for extensions towards our next support obstacle of 1195 (S2). Our oscillators detect downside speed and amplify the case for further declines. The RSI0 just crossed below 50 and below its upside support line, while the MACD, although positive, has topped and fallen below its trigger line. Switching to the daily chart, I see that on the 4th of February, the price broke above the long-term downside resistance line taken from the peak of the 22nd of January 2015. As a result, I would consider the medium-term outlook to be cautiously positive and I would treat any further near-term declines as a corrective phase for now.