Gold has fallen in every of the final 4 days this week and appears set for a fourth straight weekly decline as properly. It is not been fairly for gold costs for the reason that center of final month, upon testing resistance round $1,983. Since then, we have seen value fall again under its 100-day shifting common (pink line) after which its 200-day shifting common (blue line) this week:

There’s a slight reprieve right now however that owes a lot to falling bond yields, as seen right here. However within the larger image, issues are nonetheless not wanting good for gold in the meanwhile.

The drop under the important thing day by day shifting averages places sellers in management and value is threatening to interrupt the June low to shut out the week. If that’s the case, there’s fairly a giant air pocket between that and assist all the way in which down close to the $1,800 mark.

As talked about earlier than, I would positively nonetheless maintain a extra bullish structural view on gold however timing is every part. Proper now, with bond yields racing increased and doubtlessly threatening a breakout, it is not gold’s time to shine simply but.

The coverage pivot by main central banks is the important thing driver for the long-term outlook however for now, gold bulls might need to attend for value to drag again additional earlier than coming again up once more.