• Spot gold is edging closer to a critical support level, with a daily close below potentially opening the door to deeper losses

• The 200-day moving average sits at $4,417.54 (EBS), a level gold has not closed below since October 2023

• A fleeting dip below the 200-dma on May 28 saw prices bottom $4,367.40, before a swift recovery back toward the 21-dma at $4,595.10

• Despite the brief bounce, gold remains under pressure, trading within a narrow $4,496.20–$4,452.90 range on June 3

• With gold edging ever closer to the 200-dma, traders will be watching closely — a close below could signal a more significant shift in trend
XAU=EBS


(Richard Pace is a Reuters market analyst. The views expressed are his own)