Gold Price Analysis: Corrective weakness for some time yet – Credit Suisse

Gold weakness stays seen as corrective, although the core uptrend may not resume for some time yet while the yellow metal trades below the $1916 level, strategists at Credit Suisse inform.

See – Gold Price Analysis: Stimulative policies to drive XAU/USD above $2,000 – TDS

Key quotes

“Gold has stabilized as expected back above its 200-day average (at $1819) and we remain of the view weakness from August is a correction within the longer-term bull market.” 

“Above the downtrend at $1916 is needed to add weight to the view the worst of the sell-off has been seen but with a break above $1966 still needed to suggest the core trend is indeed turning higher again for strength back to $2075 and eventually $2300.”

“A close below $1819 would warn of a more concerted correction lower with support seen at $1765/63 initially, then more importantly at $1726, which we look to hold.”