- XAU/USD is ending the New York session on its low tick.
- Further weakness can be expected in the medium term.
XAU/USD daily chart
Gold is trading in a bull trend above the main SMAs while easing from multi-year highs. XAU/USD is retracing down as investors are expecting some fiscal stimulus in the US to counter the economic damage of the COVID-19.
XAU/USD four-hour chart
The precious metal broke below the 1650/1640 support zone and the 50/100 SMAs on the four-hour chart. As bulls lost considerable momentum the market could potentially extend losses towards the 1610 and 1590 levels. Resistance can be expected in the 1650/1640 price zone.