A closing breach of $1276 is a big bearish breakdown and completes a big medium term top pattern to imply $1206. Intraday rallies are increasingly being sold into. A key band of overhead supply is now between $1276/$1280.
A breakdown below $1276 resulted in some consolidation in front of Easter, but once clear of the holiday period, traders have returned to drag the price down once more. Another positive long term signal was breached yesterday as the 144 day moving average (c. $1268) and now the market is on its way towards a key test of the eight month uptrend at $1261.50. This trend is the final realistic argument for long term bull control which is now close to being broken. Momentum is increasingly negatively configured and does not bode well for the bulls. Chiefly, the RSI is in the low 30s (eight month lows) but considering the bear market moves of April to July 2018 saw the RSI in the low to mid-20s, there is further downside potential. The MACD lines accelerating lower also confirms this. Near term technical rallies are now a chance to sell, with the overhead supply between $1276/$1280 a considerable barrier. Initial support at $1250 but the pivot around $1240 is also open.