Gold Price Analysis: XAU/USD drops in Asia, confirming rising wedge breakdown
|- Gold's hourly chart shows a bearish reversal pattern.
- The breakdown has exposed the recent low of $1,948.
Gold is currently trading at $1,893 per ounce, representing a 0.65% drop on the day.
The decline has confirmed a rising wedge breakdown on the hourly chart. The bearish reversal pattern indicates that the recovery rally from the Sept. 28 low of $1,948 has ended, and the sell-off from the Sept. 16 high of $1,973 has resumed.
As such, the yellow metal could re-test $1,948. On the way lower, the higher low of $1,880 created on the hourly chart on Sept. 30 could offer support.
The bearish bias would be invalidated if prices find acceptance above Thursday's high of $1,912.
Hourly chart
Trend: Bearish
Technical levels
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.