Gold: Downtrend eyes $4,000 support zone – Societe Generale

Societe Generale strategists note that Gold has extended its pullback after failing to hold above the 200-day moving average near $4,510–$4,540. Prices are drifting toward an interim projection around $4,095, with a break of this level seen opening downside toward $4,000 and the June/July troughs at $3,960–$3,940, which mark the lower boundary of a critical multi-month support range.

Key supports under growing pressure

"Gold has extended its pullback after struggling to establish itself above the 200-DMA at $4,510/$4,540."

"It is now drifting towards the interim projection near $4,095, which could act as a potential support."

"If Gold fails to overcome the recent pivot high around $4,225, the decline may continue."

"This zone represents the lower boundary of a multi-month range and remains a critical support."

"An inability to defend the $4,095 could deepen the downtrend towards $4,000 and the June/July troughs at $3,960/$3,940."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)