Gold Seen Extending Pullback as Bearish Signals Persist
COMEX gold futures remain under technical pressure, with the near-term setup still pointing lower, according to RHB Retail Research analyst Joseph Chai.
Gold continues to trade below both its 2020-day and 5050-day simple moving averages on the daily chart, a sign that the market’s short-term trend remains weak. Chai also noted that the relative strength index remains below the 50%50% mark, indicating that bearish momentum is still in place.
Given these signals, gold could extend its correction toward support at $4,200$4,200 an ounce. On the upside, immediate resistance is seen at $4,800$4,800 an ounce.
Spot gold was last up 1.8%1.8% at $4,551.40$4,551.40 an ounce.
The outlook is considered bearish because gold is trading below its 20-day and 50-day simple moving averages, while the relative strength index remains below the 50% level, which points to continued negative momentum.
RHB Retail Research’s Joseph Chai says gold may extend its correction toward support at $4,200 per ounce if the current weakness continues.
Immediate resistance is seen at $4,800 per ounce, which marks the main upside hurdle in the near term
No. Spot gold was recently 1.8% higher at $4,551.40 per ounce even as the technical view on COMEX gold futures stayed cautious.
An RSI reading below 50 generally suggests bearish or weakening momentum, meaning sellers still have the upper hand unless price action improves.
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