Gold Faces Selling Pressure

Negative trading dominated the movements of the yellow metal within the bearish path as we expected, touching the first target to be achieved at 1864, its lowest level in 1863.

From the angle of technical analysis today, and with a closer look at the chart, a 4-hour interval, we find gold is stable intraday below 1879, as we find the 50-day moving average continues its negative pressure on the price from the top. Consequently, we will maintain our negative expectations, knowing that the confirmation of the decline needs a clear break of the low posted around 1860, which increases and accelerates the strength of the daily bearish trend, so that the next targets are 1850 and 1845 respectively.

Navigating higher than 1880 postpones chances of a reversal, and we may witness a re-test of 1901, a correction of 61.80%. In general, we will continue to suggest the bearish trend as long as trading is stable below 1901.

S1: 1858.00	R1: 1880.00
S2: 1850.00	R2: 1892.00
S3: 1837.00	R3: 1901.00