Gold Price Analysis: XAU/USD eyes 38.2% Fib retracement support
Gold looks set to extend its recent decline to $1,836 – the 38.2% Fibonacci retracement of March to August rally – as crucial technical indicators have rolled over in favor of the bears. The weekly chart MACD histogram, an indicator used to gauge trend strength and trend changes, is now printing a deeper bar below the zero line, a sign of the strengthening of the downward momentum. The 5- and 10-week simple moving averages have produced a negative crossover. Further, last week's bearish marubozu candle shows bearish sentiment is quite strong.
Asia Gold: Time to stash gold and leg in on drops?
With the dollar still in demand the path of least resistance for gold and silver may be lower, but the downside for both is limited from here. A lot of position length has come off the market, and this reduction may leave both metals a little more stable, as they no longer look anywhere near as over overextended as they did even a week ago.
Risk-off sentiment favors the USD and USD assets, such as treasuries, but the yield on the US 10-year is down to 0.65%. Lower US nominal yields should eventually begin to kick favorable for bullion given past correlations.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
Gold retreats slightly from new record-high set above $3,230
Gold clings to strong daily gains near $3,220 despite retreating slightly from the record-high it set touched at $3,237 on Friday. The precious metal benefits from safe-haven flows following China's decision to raise additional tariffs on US imports to 125% from 84%.
EUR/USD corrects lower, holds comfortably above 1.1350
EUR/USD pulls away from the multi-year high it set above 1.1400 but holds comfortably above 1.1300 on Friday. The US Dollar (USD) stays under heavy pressure after China raised tariffs on US imports in retaliation, helping the pair hold its ground.
GBP/USD advances toward 1.3100 as USD selloff continues
GBP/USD preserves its bullish momentum and advances to near 1.3100 in the European session. The persistent USD weakness remains the main market theme as fears over the deepening China-US trade conflict triggering a recession in the US continue to grow.
Bitcoin, Ethereum, Dogecoin and Cardano stabilze – Why crypto is in limbo
Bitcoin, Ethereum, Dogecoin and Cardano stabilize on Friday as crypto market capitalization steadies around $2.69 trillion. Crypto traders are recovering from the swing in token prices and the Monday bloodbath.
Trump’s tariff pause sparks rally – What comes next?
Markets staged a dramatic reversal Wednesday, led by a 12% surge in the Nasdaq and strong gains across major indices, following President Trump’s unexpected decision to pause tariff escalation for non-retaliating trade partners.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.