- Gold fails again near $1900 and reverses, erasing daily gains.
- XAU/USD without a clear bias as the rebound from $1855 losses strength.
Gold is falling modestly on Monday, on a wild trading day. XAU/USD approached again during the American session the $1900 area but after reaching $1896 turned to the downside, and fell to $1875. As of writing, it trades at $1878, near the same level it closed on Thursday.
The decline took place as Wall Street indexes moved off highs and amid a rebound of the US dollar. The DXY approached daily highs, and it was capped again at 90.30. The Dow Jones is up by 0.65%, and the Nasdaq gains 0.90%. Both hit record highs levels.
Volatile price action suggests some indention ahead for gold. Price is testing the $1975 support, and a consolidation below would expose the daily low at $1869 (also Thursday’s low). Lower levels would turn the attention to the key barrier of $1850/55.
If XAU/USD posts a daily close above $1900, it would give a strong bullish sign. It would be above a critical horizontal, a psychological area and above the 100-day moving average.
Technical levels
Share
