Gold Price Analysis: Pullback from multi-year tops showed some resilience near $1660 level

• Gold witnessed some intraday profit-taking from levels just above $1700 mark.
• The downside remains cushioned amid the coronavirus-led selloff in equity markets.

Gold failed to capitalize on its early strength to fresh multi-year tops and witnessed some intraday profit-taking from levels just above the $1700 round-figure mark, dragging it below a short-term ascending trend-line.

A subsequent slide below 50-hour SMA and 23.6% Fibonacci level of the $1563-$1703 move up might have already shifted the near-term bias in favour of bearish traders, paving the way for additional declines.

The commodity, however, showed some resilience below $1660 horizontal levels. This is closely followed by another confluence support around the $1650 region amid the coronavirus-led selloff across equities.

The latter coincides with 100-hour SMA and 38.2% Fibo. level, which if broken might be seen as a key trigger for bearish traders and set the stage for a fall towards challenging the $1600 round-figure mark.

The corrective slide could get extended towards the $1575 intermediate support before the yellow metal eventually drops to the recent swing lows, around the $1563 region (touched on February 28).

On the flip side, bulls are likely to wait for a sustained move beyond the $1700 round-figure mark before positioning for any further near-term appreciating move amid still bullish oscillators on the daily chart.

Gold 1-hourly chart

Technical levels to watch