- Gold continued with its struggle to sustain above $1550 level.
- Intraday bias now seems tilted in favour of bearish traders.
Gold extended its intraday pullback from multi-year tops and has now retreated back to challenge 100-hour SMA key pivotal support, which is closely followed by an ascending trend-line support near the $1532 region.
The intraday slide accelerated further in the last hour and dragged the precious metal to test another trend-line, which is acting as neck-line support of a bearish head & shoulders chart pattern formation on the 1-hourly chart.
Meanwhile, technical indicators on the mentioned chart have been gaining negative traction and losing positive momentum on the 4-hourly chart, supporting prospects for further intraday depreciating move amid risk-on mood.
Hence, a follow-through selling below the $1532 support area seems more likely to accelerate the downfall further towards the $1522-20 intermediate support (weekly lows) en-route the key $1500 psychological mark.
On the flip side, any meaningful up-move might continue to confront some fresh supply near the $1550 horizontal zone and is followed by multi-year tops near the $1555-57 region, which if cleared might negate any bearish bias.
Gold 1-hourly chart
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