Gold is seeing a more severe setback below the crucial 55-Day Moving Average (DMA) at $1,853. Strategists at Credit Suisse expect the yellow metal to find a solid support at the 200-DMA of $1,775.
Move above $1,998 can reassert an upward bias
“Gold has been capped at resistance at $1,973/98 as expected and continues to fall further and is now clearly below the 55-DMA, currently seen at $1,853, which raises the odds of further losses towards the long-term 200-DMA, currently seen at $1,775, which we expect to floor the precious metal.”
“Above $1,998 can reassert an upward bias for a test of long-term resistance from the $2,070/72 record highs of 2020 and 2022.”