Gold Price Forecast: XAU/USD hits daily lows under $1,800
|- A stronger US Dollar and higher US yields sent gold prices below $1,800.
- Next support is a short-term uptrend line around $1,795.
- US stocks turn negative, adding support to the Dollar.
Gold prices extended losses during the American session and printed a fresh daily low at $1,797. Currently, XAU/USD is hovering around $1,800 with a bearish bias.
A slide back under $1,800 would make gold vulnerable to a decline to test an uptrend line around $1,795. A break below could trigger more losses, to the $1,785 zone. Below the next support is located at $1,773 (Dec 15 & 16 low).
On the upside, Gold faces immediate resistance at $1,805. A break above $1,810 would improve the short-term outlook for the yellow metal. The critical level continues to be $1,820: a consolidation above would add a new support for a test of $1,830.
Dollar strengthens
The slide in Gold took place as equity prices in Wall Street turned negative and amid a rebound in US yields to fresh daily highs. The context weighed on XAU/USD. The US Dollar Index rose from the lowest level in almost a week at 103.84 to 104.45, the strongest since Friday.
Silver is falling by 1.80% and crude oil tumbles 2%. The Dow Jones is losing 0.53% and the Nasdaq 0.95%.
XAU/USD 4-hour chart
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