Technical outlook:
Gold seems to have carved a meaningful top at $1,703.00 levels on March 09, 2020. Since then, the yellow metal has given in to bears and dropped to settle around $1,450 levels, breaking initial support at $1,560 earlier. A break of $1,560 and $1,445/50 levels clearly indicating that the trend might have reversed for good and that $1,703 resistance is here to stay for a long time to come. Furthermore, the rally between $1,450 and $1,640 also seem to be corrective and the price has managed to retrace just over fibonacci 0.618 levels at $1,618. Also note that $1,640 was previous support turned resistance and a bearish reversal here should push prices below $1,450 in the next few trading sessions. The overall structure is looking bearish until prices remain below $1,703, going forward.
Trading plan:
Remain short @ 1,624/30, stop @ 1,704 target is open.
Good luck!
