Gold Price and Crude Oil Price At Risk of More Losses
Gold price started a fresh decline below the $1,685 support zone. Crude oil price is also struggling and remains at a risk of more losses.
Important Takeaways for Gold and Oil
- Gold price started a fresh decline after it failed to stay above $1,700 against the US Dollar.
- There is a key bearish trend line forming with resistance near $1,675 on the hourly chart of gold.
- Crude oil price also started a steady decline from the $90.00 zone.
- There was a break below a major bullish trend line with support near $87.50 on the hourly chart of XTI/USD.
Gold Price Technical Analysis
Gold price attempted to gain pace above the $1,735 level against the US Dollar. However, the price failed to stay above $1,720 and started a fresh decline.
There was a clear move below the $1,700 support zone and the 50 hourly simple moving average. The price declined below the $1,675 level to move into a bearish zone. The decline gained pace below the $1,670 level.
Gold Price Hourly Chart
The price traded as low as $1,660 and is currently consolidating losses. On the upside, the price is facing resistance near the $1,670 level.
The first major resistance is near the $1,675 level. There is also a key bearish trend line forming with resistance near $1,675 on the hourly chart of gold. The trend line is near the 23.6% Fib retracement level of the recent decline from the $1,735 swing high to $1,660 low.
The main resistance is now forming near the $1,688 level and the 50 hourly simple moving average, above which it could even test the 50% Fib retracement level of the recent decline from the $1,735 swing high to $1,660 low.
A clear upside break above the $1,700 resistance could send the price towards $1,735. An immediate support on the downside is near the $1,660 level. The next major support is near the $1,650 level, below which there is a risk of a larger decline. In the stated case, the price could decline sharply towards the $1,620 support zone.
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