Gold Price Forecast: XAUUSD trading below $,1780 points to a loss of bullish momentum

Gold is trading slightly below $1,780. This mark aligns as a key technical level for XAU/USD, FXStreet’s Eren Sengezer reports.

First support is located at $1,740

“In order to remain technically bullish, XAU/USD needs to confirm $1,780, where the Fibonacci 23.6% retracement of the latest downtrend and the descending trend line meet, as support. In that scenario, $1,800 (psychological level 50-day SMA) and $1,830 (Fibonacci 38.2% retracement) align as next bullish targets.”

“On the downside, the first support is located at $1,740 (20-day SMA) before $1,700 (psychological level) and $1,680 (July 21 low, static level from March 2021).”