Further signs of strength
Today’s advance broke through a resistance zone that stopped the rise of Monday, so that the next higher price goals were informed. That would be on the $ 2,556 price zone identified by the 127.2% retracement of the most recent major decrease that the Oktoberpiek followed at $ 2,790. However, a potential resistance level has also been identified around the high today. Note the graph that an earlier support trend line has been tested today as a resistance.
It is not yet broken and can remain an area of resistance. Because the next higher target is relatively close, it would not be surprising to see an outbreak above the line. Moreover, the gold price could remain higher and still recognize the line as a resistance. Above $ 2,556 has said that trend lines help to offer context and instructions with regard to strength or weakness, but they are exactly that.
Long -term bull trend continues
Gold is located in a long -term bullmarkt that continues to show signs in force and develops in a relatively ordered way. The current stage of the advance really started after an outbreak of consolidation at the end of February 2024. Since then, the 100-day MA (not shown) has done good work by marking dynamic support for the trend. From the end of January it started to go up again after a period of fishing. This bullish thesis is what the question retains during the withdrawal. But financial assets do not rise in a straight line, nor in a way that makes it easy to feel comfortable, because the progress is followed by racement and consolidation.
Possible support during weakness
Last week gold broke out into a new trend high when it was higher than $ 2,790. That price surface becomes a potential support zone during retracement. If the low point of today $ 2,807 is caught to the disadvantage, the withdrawal may have begun. This week’s low point of $ 2,772 is also a potential support level, together with the 20-day MA at $ 2,735.
Look for a look in all the economic events of today Economic calendar.