Gold is Facing Selling Pressure And Caution Required

Gold prices experienced a strong decline during the previous trading session, exceeding the official station that is required to be touched, located at the price of 1722, to record its lowest level of 1677.

Technically, gold prices tried to compensate for the losses within a temporary bullish path, and with a careful look at the 4-hour chart, there is strong negative pressure coming from the simple moving averages, in addition to the stability of the daily trading below the previously broken support level, which is now converted to the 1770 resistance level, correction Fibonacci 61.80%.

This encourages us to maintain our negative outlook, knowing that confirming the break of 1720 facilitates the task required to visit 1684 awaited official stations.

Only from above, the stability of trading above 1770 will immediately stop the continuation of the bearish trend, and we will witness negative trades targeting 1810. Note: the level of risks is high and may not be commensurate with the expected return.

S1: 1742.00	R1: 1798.00
S2: 1722.00	R2: 1834.00
S3: 1686.00	R3:  1854.00