Sharp drop in gold prices: Critical $4,230 warning from experts
As spot gold broke through the $4,000 support level and retreated, market experts announced the levels that need to be cleared for the rise to resume again.
Due to Fed expectations and a strengthening dollar, spot gold fell as low as $3,992, experiencing its sharpest selling wave since June. Experts evaluated the latest situation in the market.
Spot gold broke through the psychological threshold of $4,000 and retreated to $3,992 due to the Federal Reserve's monetary policy expectations, a strengthening dollar, and liquidity concerns. While weekly value loss exceeded 4 percent, it recorded the sharpest selling wave since June. Saxo Bank Head of Commodity Strategy Ole Hansen stated that stop-loss orders triggered by the breaking of the 4,065 level accelerated the decline. Hansen emphasized that the $3,970 level must be surpassed for the decline to stop, and $4,230 must be surpassed for the rise to begin.
Sources
- yenisafak.com · Link