Gold Price Forecast: XAUUSD could head south after losing 50DMA at $1,673

Gold price has entered into a phase of upside consolidation but has just lost the bearish 50-Daily Moving Average (DMA) at $1,673. Thus, a push higher towards $1,700 is less likely now, FXStreet’s Dhwani Mehta reports.

RSI is holding flat above the midline

“So long as the 50DMA at $1,673 is held, the bullish potential remains intact for the bullion, with a retest of Friday’s high at $1,683 likely to pave the way toward the $1,700 threshold.”

“The 14-day Relative Strength Index (RSI) is holding flat above the midline, supporting the recent rally in Gold price.”

“On a firm break below the 50DMA, sellers will target the triangle resistance-turned-support at $1,658. Further south, the horizontal 21DMA at $1,653 could come to the rescue of bulls.”