Gold consolidates the intraday losses, drops toward filling the day-start gap on the upside.
Two-week-old ascending triangle restricts short-term moves, bearish MACD favor sellers.
Gold drops to $1,851.39 while trimming the gains to 0.50% during Monday’s Asian session. In doing so, the yellow metal stays inside a short-term ascending triangle.
Given the bearish MACD favoring the quote’s further downside, gold sellers will wait for a clear break of the triangle’s support, currently around $1,840, for fresh entries.
Following that, the previous week’s low near $1,830 and January’s low near $1,802, also the $1,800 threshold, can entertain the commodity sellers.
On the contrary, $1,870 can please the short-term buyers during the bullion’s fresh run-up.
It should, however, be noted that the bulls are likely to remain cautious until the gold prices rally beyond $1,875, comprising the highs marked since January 21. In doing so, the bulls will eye the mid-November 2020 top surrounding $1,900.
Overall, gold prices are likely fading the upside momentum. Though, sellers are waiting for confirmation.
Gold hourly chart
Trend: Pullback expected