Article by: ETO Markets

With the possibility of no more significant stimulus from China, geopolitical concerns in the Red Sea, and a reduction in bets on aggressive Fed rate cuts, risk sentiment is still weak. But the US Treasury bond rates' retreat from multi-week highs continues to be a drag on the US Dollar, meaning it does not profit from the safe-haven flows.

The next substantial cushion is observed in the $… zone, if the support around the $… mark fails. However, before the latter is contested, gold investors might find brief support around $...  

Conversely, in order to start a comeback toward the triangle support at $… , the price of gold must be accepted above the 50-DMA support that has turned into resistance. Bearish commitments may be tested further up by the convergence of the 20-DMA and the triangle resistance at $...