FXStreet reports that Benjamin Wong, Strategist at DBS Bank said that XAU/USD driven towards a test of a 1,660-1,670 support confluence zone.

“Gold ETF demand sprouted from September 2019 onwards, and back-testing that against an average line costing, such holdings are average costed around 1680. Both gold longs either on ETFs or futures positioning are reducing longs – hence, unless gold secures a sustained return over 1,760-1,765 and the 200-day moving average at 1,859, the risks would be both ways until the bull reasserts its presence.”