The precious metal is trading weaker on the day as the risk appetite remains in favor. Investors are bullish on the US and China trade deal. The fourth-quarter earnings report kicked off with the financial companies reporting, adding to the risk appetite.
XAU/USD Could Decline Lower in the Near Term
The precious metal is forming a hidden bearish divergence. The Stochastics indicate a higher high against a lower high in price. This supports the downside test toward the 1534 region. A breakdown below this level will indicate further declines to the 1514 support area next.
