Gold has fallen sharply over the past couple of days, with the market now testing key support at $1,877. XAUUSD needs to hold above here to maintain a slight upward bias, economists at Credit Suisse report.

Gold to complete a top on a break below $1,877 

“The $1,877 level needs to hold to avoid an in-range top and to maintain an upward bias in the broader sideways range, with first key resistance at the recent $1,998/2,000 high.” 

Only above the $2,070/75 highs though would be seen to resolve the broader-medium-term range higher for a fresh bull trend, with resistance then seen at $2,280/2,300.”

“A break below $1,877 would complete a top to turn the risks lower within the broad sideways range, with next support then seen at $1,845/33.”