Image Source: Unsplash
 

Gold has been trading mostly sideways since the beginning of June, which we saw as a bearish triangle consolidation within wave (4). As you can see, now, at the end of June, it's coming even lower, ideally into the final wave (5), before we will see a stabilization.

The RSI indicator is already showing a divergence, but there can be still room down to the 1900 support level within a potential ending diagonal (wedge) pattern before we will see a recovery.

Notice that a five-wave cycle can belong either to wave C of an A-B-C irregular/expanded flat correction or maybe even as part of the first leg A of a deeper corrective decline. However, in both cases, we can expect a recovery in a minimum of three waves soon. 
Slow three-wave corrective recovery will be a most likely signal for more weakness later this year, but if we will get a strong sharp, or impulsive rally back above the 2000 level, then bulls could extend the rally in the second part of 2023.

More By This Author:

Wheat Is Recovering After A Completed Five-Wave Bearish Cycle
Ethereum Completed A-B-C Correction Within Uptrend
AUD/NZD Is Finishing A Corrective Rally