September 14, 2020 (Gold Market Wire) - Friday's close under the trend line ruled out any early rally this European a.m. and now the market continues to stagnate within a tight range set by the horizontal boundaries.

We'll start with the simple trend line, which Gold failed to surmount on Friday and which we continue to drift under.

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The chart above shows how we failed on Friday, and then, today went up and touched the line and retreated. This trend line obviously is both a magnet and a challenge. We could, as we have done before, simply skip along the line, hugging it while it rises without moving above it. That happened just a few weeks ago.

We'll add the horizontal picture now to round out the scene.

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So, we're caught in the box. We remain slightly under the spell of the NASDAQ, which, like Gold, is drifting, finishing slightly lower on Friday. We would, however, be remiss if we didn't point out that within this limited action, we continue to make lower highs; on August 6, 18; September 1 and 10. That certainly adds a bearish tenor to the proceedings.

Food for thought on a Monday morning.