31.05.202221:52 Forex Analysis & Reviews: Gold: more declines in play

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Gold Sellers In Control!

The price of gold drops at the time of writing. It's trading at 1,839 below 1,843 former low which represented a downside obstacle. After dropping below the uptrend line, the XAU/USD was somehow expected to develop a larger drop.

Still, in the short term, the price came back higher trying to test and retest the uptrend line or stabilize above it. As you can see on the H1 chart, Gold failed to stay above the uptrend line or to approach and reach the 1,869 high signalings that the buyers are exhausted.

Gold Trading Conclusion!

Personally, I've drawn a new downtrend line. As long as it stays below this line, XAU/USD could drop deeper. The current breakdown below 1,843 downside obstacle signal more declines and represented a selling opportunity.

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