Gold Mining Leaders Barrick, Newmont Sink Deeper As Death Cross Looms – Barrick Gold (NYSE:GOLD), Newmont (NYSE:NEM)

The glitter of gold loses its shine for two mining giants, Barrick Gold Corp GOLD And Newmont Corp NEMbecause both stocks have reached a technical low Death cross– a bearish signal when the 50-day moving average falls below the 200-day moving average.

For those betting on these miners to shine, the charts suggest the treasure hunt may be on pause.

Barrick Gold Stock: Enters below the glitter line

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Shares of Barrick Gold are down 11.97% this year, and its recent performance offers little reason to cheer. The stock is trading at $15.65, below the 20-day ($16.53) and 50-day ($17.86) simple moving averages.

While the relative strength index of 34.24 indicates that it is approaching oversold territory, the MACD indicator with a negative 0.61 confirms the bearish sentiment.

As a ray of hope, GOLD’s eight-day SMA ($15.64) provides a weak bullish signal, as the stock is barely clinging to this short-term average.

But let’s not get ahead of ourselves: geopolitical tensions and rising US government bond yields continue to cast a shadow on gold prices.

Also read: Newmont lays off senior employees for greater cost control

Newmont Corp Stock: Gold’s Gloomy Cousin

Chart created with Benzinga Pro

Newmont is not doing any better, down 6.89% since last year. The stock price of $38.09 is below the 20-day ($40.24), 50-day ($44.27), and 200-day ($44.86) SMAs – a trifecta of bearish indicators.

The MACD value of negative 1.65 and RSI of 32.28 indicate that further downside is likely as selling pressure increases.

Even the demand for gold as a safe haven amid geopolitical tensions has failed to keep these miners afloat. The rising US dollar and government bond yields have dampened gold’s appeal, turning a potential golden opportunity for investors into fool’s gold.

Outlook: Mining for Better Days?

With gold prices caught between geopolitical turmoil and the pull of stronger US economic data, Barrick and Newmont’s Death Cross signals are a stark warning to investors.

Until the macroeconomic winds change or gold prices break resistance, these mining heavyweights could find themselves deeper into bearish territory.

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