Gold paves the way for further declines 16/5/2022

Gold prices consolidated their losses against the US dollar within the expected bearish path, touching the required official station at 1800, recording its lowest level at the end of last week’s trading at 1799.

On the technical side, today, we tend to the negativity in our trading, relying on the regular movement within the bearish channel shown on the chart, which is supported by the negative pressure of the simple moving averages, which supports the continuation of the bearish price curve.

With stability and intraday trading below 1823, and generally below 1850, the bearish scenario is the most preferred, targeting 1780 next station, whose price targets may extend later towards 1765 as long as the price is stable below 1850.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1794.00	R1: 1823.00
S2: 1782.00	R2: 1840.00
S3: 1765.00	R3:  1852.00