The precious metal saw strong losses last week. The declines came even after Trump’s tweet which saw a moderation to the trade talk euphoria.
Gold prices now erase the gains made from the previous three weeks. The declines could continue into the near term. But the move is widely expected as gold prices stutter in their rally.
XAU/USD Breaks Below Support
The breakdown below the 1462 handle could mean that the precious metal will slip further. However, the Stochastics oscillator is currently posting a bullish divergence.
If we get to see an upside rebound, then XAUUSD will be correcting modestly higher. The price level near 1483.60 will be critical in the near term for XAUUSD to establish resistance.
