Gold Remains Under Pressure Below $1,820 Amid Steady US Bond Yields
Gold continues to face mild bearish pressure, with its price trading slightly below $1,820 after a brief recovery attempt. The persistent strength of the benchmark 10-year US Treasury bond yield, which remains above 4.7%, is posing challenges for XAU/USD’s potential for a significant rebound.
In terms of technical analysis on the daily chart, XAU/USD appears to be in a bearish mode. Key indicators have extended their declines into extremely oversold territory, showing no signs of a potential reversal. The Momentum indicator is moving sharply southward at approximately 94, while the Relative Strength Index (RSI) stands at 18. Additionally, the moving averages are strengthening their downward positions, well above the current price level, reflecting the dominance of sellers.
Looking at the 4-hour chart, the near-term outlook remains tilted towards the downside. The presence of a bearish 20 Simple Moving Average (SMA) has contained intraday buying interest and currently acts as dynamic resistance, situated around $1,824.10. Moreover, technical indicators on this shorter time frame have turned south after a brief correction to the upside within negative levels, further indicating the prevailing control of bears.
Key Support Levels: $1,804.70, $1,792.10, $1,779.85
Key Resistance Levels: $1,824.10, $1,833.35, $1,845.20
