GOLD - BULLISH OUTLOOK WITH SHORT TERM PULLBACKSymbol - XAUUSD
Gold is currently testing the liquidity zone near the 3350 level, exhibiting signs of a potential false breakout above resistance within the prevailing upward trend. A short-term correction may occur before the continuation of the broader bullish movement.
The fundamental backdrop in the market remains complex and somewhat contradictory. Presently, attention is centered on geopolitical developments, particularly the heightened tensions between Russia and Ukraine following the recent weekend escalation. Market participants are closely monitoring diplomatic negotiations taking place in Turkiye. Additionally, the ongoing uncertainty surrounding international tariff policies continues to exert pressure on sentiment.
Since the session's open, gold has demonstrated strong upward momentum, approaching a key liquidity & resistance zone. A false breakout at resistance appears to be forming, which could prompt a corrective pullback toward a key area of interest. Simultaneously, the US dollar is testing a support level, potentially signaling a local correction before resuming its directional movement. This interplay may influence gold prices, which retain an overall bullish outlook.
Resistance levels: 3350, 3365, 3409
Support levels: 3303, 3264
The price has broken out from a consolidation phase, having tested resistance and triggered liquidity above the 3350 mark. Given the current positioning, a retracement toward support levels is plausible before the uptrend resumes.
