Gold prices closed under the 2021 bottom on Thursday, marking the lowest close since April 2020.
That has opened the door to extending the dominant downtrend since March. Immediate support appears to be the 78.6% Fibonacci extension at 1651 before the 100% level at 1609 kicks in.
In the event of a turn higher, keep a close eye on the former 1681 - 1696 support zone, which could hold as new resistance. Shortly above that is the 20-day Simple Moving Average (SMA), which could reinstate the downside focus.
XAUUSD
That has opened the door to extending the dominant downtrend since March. Immediate support appears to be the 78.6% Fibonacci extension at 1651 before the 100% level at 1609 kicks in.
In the event of a turn higher, keep a close eye on the former 1681 - 1696 support zone, which could hold as new resistance. Shortly above that is the 20-day Simple Moving Average (SMA), which could reinstate the downside focus.
XAUUSD
