- The strength of the dollar and rising yields in the US pushed gold prices below $1,800.
- The next support is a short-term uptrend line around $1,795.
- US stocks in the negative, adding support to the dollar.
gold prices they extended losses during the American session and hit a new daily low at $1,797. Currently, the XAU/USD pair is hovering around $1,800 with a bearish bias.
A pullback below $1,800 would make gold vulnerable to a decline to test an uptrend line around $1,795. A break below could trigger further losses, down to the $1,785 area. Below, the next support lies at $1,773 (Dec 15-16 low).
To the upside, Gold faces immediate resistance at $1,805. Breaking above $1,810 would improve the short-term outlook for the yellow metal. The critical level remains $1,820 – a consolidation above would add new support for a test of $1,830.
The dollar is getting stronger
Gold’s slide came as stock prices on Wall Street turned negative and amid a rebound in US yields to new daily highs. The context weighed on the XAU/USD. The Dollar Index rose from the lowest level in almost a week, 103.84, to 104.45, the highest level since Friday.
Silver falls 1.80% and crude oil plunges 2%. The Dow Jones loses 0.53% and the Nasdaq 0.95%.
XAU/USD 4-hour chart
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Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
