Gold Price Forecast: XAU/USD under pressure, hits fresh four-week lows near $1760

• XAU/USD drops further even as US yields remain in recent range.
• US dollar and equities mixed, oil rebounds, and metals hold soft tone.

Gold prices continue under pressure on Thursday. XAU/USD dropped further to 1762$, reaching the lowest level in four weeks; it remains near the lows, looking at the 1760$ support area.

The declines are taking place even as US yields remain relatively steady and amid mixed US dollar. Also in Wall Street, equity prices are mixed. Price action suggests the negative tone in gold has strengthened and a slide below $1760 would expose the next support at $1745/50. A consolidation above $1780 should alleviate the bearish pressure, clearing the way for a test of $1790.

Economic data released on Thursday in the US showed a lower than expected increase in initial jobless claims. On Friday, the Non-farm payroll is due. Those numbers could have a significant impact on monetary policy expectations, affecting yields, the dollar and gold.

The weekly chart also shows gold under pressure, headed toward the third decline in a row, and price back under the 20-week simple moving average. If it ends Friday around current levels would be the lowest weekly close since early October.

Technical levels