Gold has confirmed a major “double top.” Strategists at Credit Suisse expect further weakness.
Important resistance seen at the 55-DMA
“Gold below $1,691/76 has confirmed a large ‘double top’, which turns the risks lower over at least the next 1-3 months, with the precious metal also now hovering clearly below both the 55-day and 200-day averages, currently seen at $1,726/1,827.”
“We note that the next support is seen at $1,618/16, then $1,560 and eventually $1,451/40.”
“Only a convincing break above the 55-day average at $1,726 would ease the pressure on the precious metal, with next resistance then seen at the even more important 200-day average, currently at $1,827.”
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