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Gold has slipped below $1,900 after hovering above that level for several days. XAU/USD risks further falls as technical setup turns bearish, FXStreet’s Dhwani Mehta briefs.

See –  Gold Price Analysis: Three factors to drive XAU/USD higher – DBS Bank

Gold to remain at the mercy of the risk trends and dollar dynamics

“If the risk-off mood intensifies, the US dollar is likely to catch a fresh bid wave, exacerbating the pain in gold. Meanwhile, an uptick in the Treasury yields, amid a potential revival of the risk-on trades, could also exert downside pressure on the yiedless gold.”  

“The yellow metal will remain at the mercy of the dynamics in the dollar and yields, taking cues from the broader market sentiment, in absence of relevant US macro news.”

“Gold price is challenging critical 50-simple moving average (SMA) support at $1895, below which a sharp sell-off towards the bullish 100-SMA at $1873 cannot be ruled out.”  

“Acceptance above powerful support turned resistance at $1901 is critical to negate the downside bias in the near-term. The next stop for the buyers is seen at the $1910 round number.”