XAU/USD Slump Continues as US Bond Yields Remain Elevated.
Gold continues to print bearish candles with the precious metal losing nearly 6% of its value since September 20th. The break and open below the cluster of all three simple moving averages at the start of last week accelerated the sell-off, while prior support between $1,893/oz. and $1,885/oz. failed to stem the move lower. A prior swing low at $1,805/oz. is now the next level of support before the 61.8% Fibonacci retracement level at $1,794/oz. comes into play. The CCI indicator is in oversold territory due to the recent sell-off and this may slow further losses until the reading normalizes.
Gold continues to print bearish candles with the precious metal losing nearly 6% of its value since September 20th. The break and open below the cluster of all three simple moving averages at the start of last week accelerated the sell-off, while prior support between $1,893/oz. and $1,885/oz. failed to stem the move lower. A prior swing low at $1,805/oz. is now the next level of support before the 61.8% Fibonacci retracement level at $1,794/oz. comes into play. The CCI indicator is in oversold territory due to the recent sell-off and this may slow further losses until the reading normalizes.