Down -23% from the August high
As the price of spot gold sheds another $35 or so dollars and trades below $1900 after trading as high as $2075 in August. The move from the high has now taken the price down 10.25% or so and tests the August 12 low at $1863 (the low today reached $1862.57). The next key target area comes at the rising 100 day moving average at $1842.46. The 38.2% retracement of the move up from the March 2020 low (low for the year) comes in at $1837.13. That area is key....
Although gold seems under extreme pressure, you should look at silver.
Looking at its daily chart, it is down over 23% from the high prices seen in August at $29.85. The low today reached $22.94. That is still only to the 38.2% retracement of the 2020 trading range (at $22.90). A move below the $22.90 would have the traders targeting the 100 day moving average at $21.64.
Both gold and silver seem to be following along with the dollars fortunes. If the dollar moves higher, gold/silver are moving lower with silver leading the way.
