Gold continues to decline against the dollar 6/9/2023

Gold prices declined during the previous trading session within the negative outlook expected in the last report, touching the first official target of 1929, recording its lowest level of $1924 per ounce.

Technically, by looking at the 240-minute time frame chart, we find that the simple moving averages continue to exert negative pressure on the price from above, and the 50-day average meets around the 1935 resistance level and adds more strength to it, in addition to the Relative Strength Index continuing to defend the downward trend.

Therefore, we maintain our negative expectations, continuing towards the rest of the objectives of the previous report, 1920, and breaking them facilitates the task required to retest the main support for the current trading levels, 1913, Fibonacci retracement 61.80%. We must be careful that sneaking below the mentioned level extends the losses, so we are waiting for 1905.

Only from above does the price consolidate above 1945 with the closing of at least an hour candle above it, invalidating the activation of the proposed scenario, and we witness a trading session in positive areas with a target of 1955.

Note: Today we are awaiting high-impact economic data issued on the American economy, the “ISM Services Purchasing Managers’ Index,” and we may witness high volatility at the time of the news’s release.

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: 1920.00	R1: 1935.00
S2: 1914.00	R2: 1945.00
S3: 1905.00	R3:  1955.00