Gold Price Prediction, 26 June 2023 - XAUUSD's Race To The Bottom Continues

Gold Price Prediction, 26 June 2023 – XAUUSD’s Race To The Bottom Continues

Updated: 25 June 2023

Disclosure

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Last week was a downward rollercoaster for Gold, punctuated only by obvious manipulation on Friday during the New York session. For a good two hours at the start of the session the price pushed up $17 from $1920 at 8am EST to $1937 by 9.45am.

This aligned perfectly with the Wednesday high of the NYC session and easily kicked through May’s monthly low of $1932.

It subsequently reversed, breaking back under the May low down to that day’s Asia high of around $1918. It ended the day wedged between this high and the London high of $1920.

Source: TradingView; Yellow Section=Asia Session, Green Section=London Session, Pink Section=NY Session

Down and Out

As the trend remains very much bearish for XAUUSD, our next areas of interest of Monday will be the London Low of Friday at around $1913 and the Asian Low of Friday at around $1910. This is also a monthly low, and a far cry from the $2079 peak of early May.

In real terms Gold has decreased in value by almost 8% in seven weeks, and prior to making the $1910 low on Friday had not been down this far since mid-March.

As traders should only be looking for sells on Monday to keep with the higher timeframe trend, we should expect tests of the $1918 and $1913 levels.

As Gold traders tend to stick to their sessions for price ranges, a potential retest of $1910 could come at the start of the day during the Asia session.

If price stays below that level heading into London, we have a London Low area of interest from 14 March at the psychological level of $1900.

Going even further, NY session closed out that same day in March at $1897, providing even greater space for Gold to expand into.

As this all needs fuel, we should expect to see liquidity grabs into the nearby $1920 London High of Friday, and possibly even back above $1935 – the high created in the NY session last Friday.