Recent movements in the gold market suggest a bearish turn as prices rebounded downwards subsequent to testing the breached support level within the bullish channel depicted on the chart. With the price now exerting pressure on the critical support at $2325.90, indications point towards a resumption of the bearish correction.
Traders are advised to closely monitor the key support level at $2325.90, as a decisive break below this threshold would validate expectations of further downward movement. In such a scenario, the next correctional target lies at $2260.60, representing a significant level for potential downside movement.
It is noteworthy that the current negative sentiment is reinforced by the downward pressure exerted by the Exponential Moving Average (EMA50). However, it is essential to remain vigilant, as a breach of the resistance at $2360.50 could potentially stall the anticipated decline and signal a resurgence of the primary bullish trend.
Expected Trading Range:
Support: $2305.00
Resistance: $2340.00
Trend Forecast: Bearish
Traders should exercise caution and consider appropriate risk management strategies in light of the prevailing market conditions, as the gold price analysis indicates a bearish outlook in the near term.
