XAUUSD approaching resistance, potential drop!

XAUUSD is approaching our first resistance at 1240.06 (horizontal pullback resistance, 38.2% Fibonacci retracement, 61.8%, 100% Fibonacci extension) and a strong drop might occur pushing price down to our major support at 1208.78 (horizontal pullback support, 38.2%, 50% Fibonacci retracement).
Stochastic (89,5,3) is also facing bearish pressure and we might see a corresponding drop in price.
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