The price of gold is currently at a critical juncture, hovering near the 2065.70 level, facing conflicting technical factors. The stochastic indicators are signaling negativity, which might exert downward pressure on the price. However, the EMA50 (Exponential Moving Average) is providing positive support from below, potentially aiding in achieving further gains on an intraday basis. This is particularly notable after the confirmation of breaching a minor bearish channel’s resistance visible on the chart.
Given these mixed signals, a cautious approach is advised, and it is preferable to stay on the sidelines until a clearer trend direction emerges. Breaking the support at 2037.50 could prompt the price to resume a correctional bearish wave, targeting 2016.90 initially and potentially extending to 1977.46 after breaching the former level.
Conversely, surpassing the resistance at 2065.70 is pivotal for reclaiming the main bullish trend. This breakthrough could set the stage for further gains, with initial targets testing the $2100.00 barrier and potentially reaching 2144.60 in the near term.
The expected trading range for the day is anticipated between the support at 2035.00 and the resistance at 2075.00. As of now, the overall trend is deemed neutral, emphasizing the need for clarity in the market before committing to a specific direction. Traders are advised to monitor key levels closely for potential trend confirmation.
