The precious metal extended declines on Thursday as investors shunned risk assets. Gold prices settled near the 1285 handle by Thursday’s close. The declines came as economic data from the US was fairly better. Building permits grew at a pace of 0.6% on the month while housing starts rose 5.7%
Will XAUUSD Continue to Decline?
The recent drop to the 1285 handle was as expected. Price action is currently testing this level for support. If there is a reversal at this level, then the outlook remains to the upside for gold prices. Alternately, a breakdown below the 1285 support could potentially signal the previous bearish trend resuming.
