Gold remains solidly below $1,691/76, reinforcing its “double top.” Subsequently, strategists at Credit Suisse expect XAU/USD to extend its losses.

Weekly close above 55-Day Moving Average at $1,699 to alleviate downside pressure

“Gold below $1,691/76 has reinforced its existing large ‘double top’. Hence, with a top in place, we expect XAU/USD to come under renewed pressure. We note that the next support is seen at $1,614, then $1,560 and eventually our core objective at $1,451/40.”

“Only a convincing weekly close above the 55-DMA at $1,699 would ease the pressure on the yellow metal, with next resistance then seen at the even more important 200-DMA, currently at $1,813, which we would expect to cap at the very latest.”