Strong bearish acceleration on Monday extends steep fall of last Thu/Fri, marking so far near 1% loss for the day.
Fresh bears broke through thin daily cloud and pressure strong supports at $1319/18 (06 Apr low/rising 100SMA).
Stronger dollar on rising US bond yields and eased geopolitical tension that slashed safe-haven demand, keep the yellow metal under strong pressure.
Daily techs turned to bearish mode and favor further downside, as gold price rides on the third wave of five-wave sequence from $1365 high and cracked its FE 100% at $1323.
The wave could travel to its FE123.6% at $1315, on break below $1319/18 pivots and could extend to $1311 (FE 138.2%).
Bears may show hesitation at $1319/18 zone on oversold conditions, but strong bearish sentiment suggests limited upside action.
Daily cloud is widening after last week’s twist, currently spanned between $1329 and $1334 and should cap corrective upticks.
Res: 1323; 1329; 1331; 1334
Sup: 1318; 1315; 1311; 1307
