Gold Price Analysis: Bears challenge 100-period SMA support on 4-hourly chart
|- Gold drifts lower through the mid-European session on Thursday.
- Bears now await a break below weekly lows, around $1546 region.
Gold failed to capitalize on the overnight intraday bounce and started retreating from the vicinity of a one-week-old ascending trend-channel support breakpoint.
The commodity edged lower through the mid-European session and is currently placed near 100-period SMA support on the 4-hourly chart, around the $1553 region.
Some follow-through selling, leading to a subsequent weakness below weekly lows – around the $1546 region – might now be seen as a key trigger for bearish traders.
The precious metal then might extend its recent pullback from multi-year tops and accelerate the slide further towards monthly swing lows support near the $1536-35 region.
The downward trajectory could further get extended towards a previous strong horizontal resistance breakpoint, now turned support near the $1515-14 zone.
On the flip side, the mentioned support-turned-resistance, around the $1564-65 region might continue to act as an immediate hurdle ahead of $1568-69 area (weekly tops).
Gold 4-hourly chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.