Usman Salis
Gold's having a rough time lately, and the charts are telling a pretty clear story. After one of the most insane rallies in precious metals history, the yellow metal is showing some serious warning signs.
Gold kicked off 2025 at $2,780.50 and absolutely exploded to over $3,500 in just four months. But since April? Dead in the water. From April's close through July 29th, gold has moved a whopping 0.34% – that's just $11.50. Talk about running out of steam.
The real problem started last week when gold got smacked for three straight days, losing over 3%. Technical folks call this pattern "three black crows," and it's basically the chart's way of screaming that a reversal is coming. Monday made it worse with another down day.
Gold (XAU) Price Breaks Key Technical Level
The big red flag? Gold dropped below its 50-day moving average and can't climb back up. Last time this happened, gold fell another $88 over four trading sessions. If that plays out again, we're looking at a test of $3,300 support.
This year split into two phases. First four months were explosive gains driven by geopolitical mess in the Middle East and Ukraine. But once those tensions cooled and the Fed started talking tough, the party ended. The fundamental drivers that pushed gold higher – tensions and uncertainty – have been fading.
Usman Salis
