Gold Incurring Heavy Losses And Gradually Losing The Bullish Momentum

Gold prices incurred heavy losses at the beginning of this week’s trading within the negative technical outlook as we expected, in which we relied on breaking 1880, exceeding the required official target 1855, recording its lowest level at 1844.

Today’s technical view indicates the possibility of continuing the bearish corrective slope, relying on the clear negative crossover signs on stochastic, coinciding with gold’s continued negative pressure from the 50-day moving average, which meets around 1885 and adds more strength to it.

Therefore, we will maintain our negative outlook, targeting 1845/1844, and it should be noted that breaking the mentioned level increases the strength of the bearish corrective bias, so we will be waiting for the second target 1838, 38.20% correction, then 1825.

The bearish scenario depends on the stability of trading below the previously broken support-into-resistance level at 1880 and most importantly 1885. Trading above 1885 will immediately negate the decline, and we may witness an upward bias with an initial target of 1896.

S1: 1846.00	R1: 1895.00
S2: 1828.00	R2: 1913.00
S3: 1837.00	R3: 1924.00