GOLD - DOWNTREND PERSISTS, PRICE UNDER BEARISH PRESSURE
Symbol - XAUUSD
CMP - 2870
Gold has been on an upward trajectory since Friday, a typical response following the false breakdown of support at 2834. The price remains within a selling zone and is expected to approach resistance levels before potentially experiencing a pullback to the downside.
The US dollar has gained significantly over the past week and appears to be positioned for further strength. However, its trajectory remains contingent upon the ongoing tariff dispute, economic risks, and regulatory policies within the United States.
Market reactions are also being influenced by efforts to address the conflict in Eastern Europe. Key developments to watch include upcoming statements from the Federal Reserve and the release of US economic data.
On the 4-hour chart, Gold is trading within a narrow range between 2881 and 2834. Should the price fall below 2881, gold will remain under bearish/selling pressure. However, the liquidity in the 2878 - 2881 region suggests that gold may test this area of interest before resuming its downward movement.
Key resistance levels: 2869, 2877, 2881
Key support levels: 2859, 2834
Currently, consolidation is taking place below the 2869 level (0.5 Fibonacci retracement) following a false breakdown. If bearish momentum prevails and price remains below this level, a decline may occur sooner. Another potential trigger is the 2859 support level - If this level is breached, a sell-off and liquidation could ensue, potentially driving prices down to 2834
On the other hand, buying can be considered if gold overcomes the 2878 - 2881 zone and is able to consolidate above this area. In this case, the price will confirm the break of the trend and strong resistance. At the moment, while gold is inside this range, we can consider an intra-range trading strategy.
CMP - 2870
Gold has been on an upward trajectory since Friday, a typical response following the false breakdown of support at 2834. The price remains within a selling zone and is expected to approach resistance levels before potentially experiencing a pullback to the downside.
The US dollar has gained significantly over the past week and appears to be positioned for further strength. However, its trajectory remains contingent upon the ongoing tariff dispute, economic risks, and regulatory policies within the United States.
Market reactions are also being influenced by efforts to address the conflict in Eastern Europe. Key developments to watch include upcoming statements from the Federal Reserve and the release of US economic data.
On the 4-hour chart, Gold is trading within a narrow range between 2881 and 2834. Should the price fall below 2881, gold will remain under bearish/selling pressure. However, the liquidity in the 2878 - 2881 region suggests that gold may test this area of interest before resuming its downward movement.
Key resistance levels: 2869, 2877, 2881
Key support levels: 2859, 2834
Currently, consolidation is taking place below the 2869 level (0.5 Fibonacci retracement) following a false breakdown. If bearish momentum prevails and price remains below this level, a decline may occur sooner. Another potential trigger is the 2859 support level - If this level is breached, a sell-off and liquidation could ensue, potentially driving prices down to 2834
On the other hand, buying can be considered if gold overcomes the 2878 - 2881 zone and is able to consolidate above this area. In this case, the price will confirm the break of the trend and strong resistance. At the moment, while gold is inside this range, we can consider an intra-range trading strategy.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.