Enhanced spot adjustment for 은(XAG/USD), falling below $62 and turning to a bearish trend… Recovery to $64 is key

Gold prices continue to plummet as profit-taking near recent highs triggers a sharp decline. During Tuesday’s Asian session trading, XAG/USD experienced a significant retracement from record highs. Notably, the recent sharp decline pushed the spot price below the $62 level, with intraday drops exceeding 2.5%.

Breakdown of the key technical level, the 100-hour SMA($62.50) signals further downside

The core of this correction is the breakdown of the 100-hour SMA at $62.50, which had supported the short-term trend. This support level acted as a ‘pivot’ for the short-term trend, and its breach has strengthened the bearish case.

One-hour oscillator indicators also show momentum in the negative territory, suggesting that if additional selling pressure emerges, the decline could accelerate further.

Sequential support levels confirmed… a step-by-step downward path from $62 to $60

From a technical perspective, the future downside path appears quite clear:

• First support level: $62 (round figure)
• Second support level: $61.45 (next technical support)
• Third support level: $60.80 (last Friday’s swing low)
• Psychological lower boundary: $60 (strong psychological support)

These levels do not necessarily mean they will all be reached. Each time a support level is broken, the next level tends to become the new market benchmark. In a retracement phase from recent highs like now, each price level often acts as a stop-loss, re-entry, or profit-taking point for traders.

Conditions for a bearish trend reversal: firm ‘acceptance’ above $64(acceptance)

For the bullish scenario to revive, a simple rebound is not enough. Price stability above $64.00 must be confirmed first.

If this zone is regained:

• Stabilization above $64 → reattempt to break the all-time high at $64.65(all-time high)
• Breakthrough of $64.65 → test of psychological resistance at $65
• Clear breakthrough above $65 → potential for additional upward momentum

Currently, the bearish momentum dominates due to support breakdowns, but this is a critical turning point where the overall trend could shift depending on whether the price recovers above $64. Future direction will likely hinge on whether the price falls below $62 or manages to establish ‘acceptance’ above $64.