Gold Price Forecast: XAUUSD bulls keep eyes on $1,858 so long as 200 DMA guards the downside

Gold price recaptured the critical horizontal 200-Daily Moving Average (DMA) at $1,842 on a daily closing basis on Thursday. In the view of FXStreet’s Dhwani Mehta, XAUUSD could retest $1,858.

Below the 200 DMA next support aligns at $1,829, then $1,816

“Bears are back this Friday, challenging the bullish commitments at the resistance now turned support at the 200 DMA at $1,842. If the latter caves in, then a drop towards the previous day’s low of $1,816 cannot be ruled out. Ahead of that the June 1 low of $1,829 could be tested.”

“So long as the 200 DMA support holds, bulls keep their sight on the weekly highs of $1,858 but the $1,850 level needs to be scaled on a sustained basis before.”