Price that overbought reaches
Certainly, the price of gold seems to have become extensive and is due to a certain extent. Both the intraday pullback today and the completion of an ABCD patriard target, point to that conclusion. In addition, the Relative Strength Index (RSI) Momentum Oscillator today reached an overbought of 76.50, such as the 77.24 Overbought read on the Minor Interim Swing High from late September 2024.
Resistance considering the next day High
In general, gold showed strength during Wednesday’s advance, because it went beyond lower goals, as noted above. Nevertheless, prices can only go so far before they have to be applied in a retracement for a price correction. To what extent that can happen can still be seen. And there is few signs of it. The revival of the $ 2,582 Swing Low (C) completed a rally of $ 300 or 11.6% from today’s high at $ 2,882.
That performance level exceeds the previous six rallies, which peaked at 8.6%. However, it is interesting to note that if gold came from a base after the depth of October 2023, the comparable stronger rallies saw, from 10.6% to 17.8%. Will the current 11.6% progress to further strong momentum when the next leg starts in the long -term bull trend?
The most important support starts at $ 2,840
Further weakness is probably if there is a drop below the low point of today $ 2,840. The recent new trend High Breakout level at $ 2,790 will then offer the first more important potential support area. The low point of this week is also a potential support level at $ 2,772, assuming that it was not broken before this week ends.
Look for a look in all the economic events of today Economic calendar.