gold breached the daily moving averages as well as the previous swing low

Gold breached the daily moving averages as well as the previous swing low

A sharp fall was observed on September 21 where gold breached the daily moving averages as well as the previous swing low. Following which a pullback can be seen on the daily chart where the yellow metal has now reached the resistance zone. The zone between 50,750 and 51,100 can act as a major hurdle which is the level of daily moving averages and the falling trend-line. The overall outlook remains bearish as the weekly as well as daily momentum indicator MACD is in the bearish zone. Failure to cross the resistance zone can lead the yellow metal towards the previous swing low of 49,904.