- Gold pulls away from recent peak, uptrend holding firm.
- Drop below $1920 would add bearish pressure to the yellow metal.
- Gold decline comes despite falling Treasury yields.
The Prayed it is falling on Wednesday and is trading in the $1925 area. after reaching new highs since April 2022 in the previous day above $1,940. The price of the yellow metal marked an intraday minimum at $1,922.
In the area of $1,920 there is an important short-term support, which if it yields could lead to further losses, exposing the current week’s low at $1,910. Conversely, a return above $1,935 would be a positive sign that could lead to a retest of the $1,940 area, the last defense for new highs.
The XAU/USD is losing more than $10 from Tuesday’s close, making this the worst day so far since January 5. The retracement to these levels is nothing more than a correction of the upward movement. The latter is holding firm, albeit showing difficulties in extending beyond $1,940.
Gold’s slide on Wednesday comes despite lower Treasury yields. The dollar, for its part, operates with mixed results, continuing with the majority of lateral movements. The next major US economic data will be released on Thursday with the fourth quarter GDP growth estimate and the spending price index.
technical levels
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
