Gold price has failed to continue its recovery, falling again below the support zone of $1,850. This comes despite a moderate return to risk-off in stock markets, and while the Dollar remains weak. This could be seen as a signal of some weakness of the underlying strength. Gold had been expected to hold yesterday’s $1,850 support level, and the failure to do so indicates investors are cautious on further betting on the precious metal in the current scenario.
Technically the first support zone is now placed at $1,830, while a new recovery above $1,850 would be seen as positive. For a clearer bullish signal, we would now need the price to surpass the top reached earlier this week at $1,875.
