Gold is coming under increasing pressure after rejecting the major $2,063/75 multi-year highs, strategists at Credit Suisse report.

Gold will eventually move to new record highs

“Gold has started to back away more decisively from pivotal resistance at the $2,063/75 record highs posted in 2020 and 2022, in line with the tiring short-term momentum picture that we have been highlighting over the past month, with a triple bearish momentum divergence still in place.”

“Next supports are seen at $1,949/40, below which would point to a correction down to $1,892, which we would then look to hold.”

“Post the current corrective phase, we believe the market will eventually move to new record highs, supported by lower US Real Yields into year-end. With this in mind, above $2,075 on a weekly closing basis would be seen to mark a significant break higher, opening up a move to our first core upside objective at $2,330/2,360.”