Barrick Gold stock outlook: Downside risks remain as sellers control the near-term trend

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Barrick Gold drops 5.45% to C$54.14

Highlights

Shares of Barrick Gold have dropped sharply and now trade below all major moving averages, indicating seller dominance.
Technical indicators including RSI, Stoch RSI, and CCI confirm the stock is deeply oversold with weak trend momentum.
Barrick Gold stock is expected to remain in a C$53 to C$55.28 range, with further downside more likely than a rebound.

Bearish momentum intensifies as weak signals and low volatility persist

Short-term pressure is reflected by ABX trading below the MA-20 (C$57.05) and MA-50 (C$56.93) on the intraday (h1) timeframe, with the MA-200 (C$59.03) on the daily chart reinforcing a bearish long-term structure. The Ichimoku Kijun sits at C$56.45 as the nearest resistance mark. Momentum signals are notably weak: MACD prints a sell, ADX is neutral, and price action remains near the session low. RSI stands heavily oversold at 28.53, while both Stoch RSI and CCI also register deep oversold readings. Bull/Bear Power favors sellers, and the Awesome Oscillator is neutral. Low volatility accompanies the steep drop and persistent downside signals.

Downside risks dominate with recovery hinging on resistance breakout

In the near term, ABX is expected to move within a C$53 to C$55.28 range. Downside risks are dominant, with limited prospects for a bounce in the coming sessions. The primary scenario is for price to remain rangebound between these levels. Should ABX break above the Kijun resistance at C$56.45, a short-lived recovery could unfold. However, a decisive slip below C$53 would open the door to further declines, with additional selling pressure likely.

Viktoras Karapetjanc, analyst at Traders Union, notes that Barrick Gold is exhibiting pronounced technical weakness. He sees persistent downside risks as the stock remains pressured below major trend levels, while key signals reflect oversold sentiment. Macro and sentiment drivers are absent, so technicals dominate the outlook for now. The expert believes a sustained move above C$56.45 would be required to regain momentum. "I expect ABX to remain rangebound in the near term, but a break below C$53 could accelerate the next wave of selling."

In a recent review, analysts highlighted that Barrick Gold remained under technical pressure despite favorable earnings and a buyback initiative. The latest session reinforces this view, as persistently weak momentum and oversold conditions suggest traders should closely monitor the C$53 level for signs of either stabilization or further downside.

Source of Data: ABX Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.