Gold's decline on Thursday aligns with expectations, as all key factors driving gold prices remain supportive. I foresee that a range-bound trading strategy is reasonable under current conditions.
However, the overbought conditions in the monthly chart, coupled with long upper shadows in the monthly candlesticks for April and May, indicate that further upward movement may be restricted. Meanwhile, the bullish momentum observed during the European session on Thursday appears to be losing steam. This suggests that gold prices may continue to consolidate within a downward channel, remaining below $2,345 to keep bearish momentum intact and potentially leading to a monthly decline by the end of this month.
Short targets upto 2250/40 .
However, the overbought conditions in the monthly chart, coupled with long upper shadows in the monthly candlesticks for April and May, indicate that further upward movement may be restricted. Meanwhile, the bullish momentum observed during the European session on Thursday appears to be losing steam. This suggests that gold prices may continue to consolidate within a downward channel, remaining below $2,345 to keep bearish momentum intact and potentially leading to a monthly decline by the end of this month.
Short targets upto 2250/40 .