Gold Continues to Crawl Towards Bearish Targets

Gold prices retreated significantly during the previous session, heading towards the second official target of the current downturn wave as we expected at 1800, shy of 3d goal at 1794.

Technically, with the price’s failure to maintain trading above the 1845 level, accompanied by the negative pressure of the simple moving averages, which is accompanied by the RSI gaining bearish momentum on short time frames.

This encourages us to maintain our negative expectations targeting 1794, and we must pay close attention to monitoring price behavior in case this level is broken, because it confirms the strength of the daily bearish trend, opening the way directly towards areas of 1789 and then 1780/1775.

A reminder that the activation of that scenario requires intraday stability below 1828/1832, and surpassing the aforementioned levels delays the chances of a reversal but does not negate it, and we may witness a re-test of the previously broken support-into-resistance 1860 before retreating again.

S1: 1789.00	R1: 1828.00
S2: 1775.00	R2: 1853.00
S3: 1750.00	R3: 1867.00