Gold stays in a consolidation phase on Wednesday as shallow XAU/USD rebound fails to convince bulls. The technical picture points to a neutral stance with a bearish bias, FXStreet’s Eren Sengezer reports.
See – Gold Price Analysis: XAU/USD rallies seen as corrective while below $1765 – Commerzbank
Key quotes
“The greenback’s market valuation is likely to continue to impact XAU/USD’s movements. On Thursday, the US Bureau of Economic Analysis will release its final estimate of the fourth-quarter Gross Domestic Product (GDP), which is expected to show that the economy grew by 4.1%.”
“A daily close above $1,745 (Fibonacci 38.2% retracement of the Feb. 2-Mar. 8 drop) could attract more buyers and open the door for additional gains toward $1,755 (March 18 high) and $1,7667 (Fibonacci 50% retracement).”
“The 20-day SMA is acting as interim support at $1,725 ahead of the critical $1,720 (Fibonacci 23.6% retracement) mark. Below that level, additional losses toward $1,700 (psychological level, March 12 low) could be witnessed.”
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