Although bearish MACD and a sustained pullback below the $1,760 upside hurdle keeps gold sellers hopeful, oversold RSI joins monthly horizontal support to test the bullion bears around the $1,700 threshold. Even if the quote manages to break the $1,700 support, the monthly low around $1,676 and a four-month-old falling support line near $1,656 could challenge the yellow metal sellers afterward.
Meanwhile, the 200-SMA level of $1,750 adds to the upside filters before the $1,760 resistance line. In a case where gold bulls dominate past-$1,760, the $1,783 and the $1,800 levels should be watched carefully as they hold the key to the metal’s run-up towards late February tops near $1,815. Overall, gold’s latest declines aren’t a sign of bear’s return.