Gold prices are currently testing a significant resistance level at $2,394.00. This resistance is further reinforced by the EMA50, adding to its strength. Additionally, negative signals from the stochastic indicator suggest that the price may face a decline, potentially testing the primary support level now at $2,366.40. Consequently, gold prices may remain confined between these two levels, maintaining a neutral stance until a clear breakout occurs.
A breach of the current resistance could invalidate the previously formed double top pattern, allowing gold prices to resume their primary bullish trend. Should this happen, the price may target gains beginning at $2,450.00 and extend up to $2,483.40. Conversely, a fall below the support level could signal a bearish correction, with initial targets around $2,324.55.
The anticipated trading range for today is between $2,375.00 (support) and $2,415.00 (resistance).
Trend Forecast: Neutral
