Gold prices have encountered strong support at the 50-day Exponential Moving Average (EMA50), which has hindered further declines, leading to a slight upward movement. However, the stochastic oscillator indicates a loss of positive momentum, suggesting that gold may soon resume its downward trajectory, with an eye on testing the primary bullish trend line at $2,412.50.
Given these indicators, the bearish trend is expected to continue on an intraday basis. However, it’s important to note that if gold breaches the $2,483.40 level, this would invalidate the bearish outlook and likely trigger a resurgence of the main bullish trend. In such a scenario, gold could aim for new highs starting at $2,500.00, with the potential to extend gains up to $2,540.00.
For today, the anticipated trading range is between the support at $2,430.00 and the resistance at $2,470.00.
Trend Forecast: Bearish
