FX.co ★ Analysis of Gold for July 18, 2023 - Rejection of the resistance and potential for the downside movement

Technical analysis:

Gold has been trading upside this morning but I found rejection of the key resistance at the price of $1.963, which is good sign for the potential downside movement.

Due to the potential change in the short term trend dynamic from bullish to bearish and the rejection of the resistance cluster, I see potential for the further drop towards lower references.

Downside objectives are set at the price of $1.945 and $1.934

MACD oscillator is showing bearish divergence, which is good confirmation for the downside movement.

Key resistance is set at the price of $1.964-$1.970

In case of the breakout of resistance at $1.970 and hold above, there is the chance for upside movement towards $2.000