- Gold accelerates downward trend, in the context of risk aversion.
- XAUUSD is down more than $60 from the levels of a week ago.
- Silver falls below $19.00, also the lowest since late July.
The Prayed He is still under pressure and is falling again, already accumulating six consecutive days with losses, in which he lost more than $60. XAUUSD fell to $1,731 on Monday, the lowest level since July 27.
From the low, gold had a timid rebound and is trading at $1,735, still vulnerable and with a bearish bias. Short-term technical indicators showing oversold are the only positive sign for the precious metal. Immediate support is at the $1,730 area and below that is $1,722. On the upside, $1745/50 is a resistance that if broken could ease downside pressure.
bad signs
Monday’s pullback in gold comes despite yields on Treasury bond they remain stable (in the area of highs in weeks) while the equity markets are collapsing.
The futures of the main Wall Street indices fall more than 1% on average, the same happens with the European indices. The outlook for global economic growth, plus inflation continues to hit the markets.
Along with the decline in gold (-0.70%), there is also that of the silver (-0.65%) which lost $19.00 and fell to as low as $18.84. Last Monday it had risen to $20.87, the highest since the end of June.
Technical levels
Source: Fx Street
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