The latest analysis of gold price dynamics reveals a persistent challenge in breaking through the neckline of the head and shoulders pattern, despite repeated testing. This struggle, however, has been counterbalanced by a bullish bias influenced by stochastic positivity.
Currently, the market awaits a negative catalyst that could potentially facilitate a breakthrough of the critical $2318.00 level, thereby activating the negative implications of the aforementioned pattern. This could potentially trigger a rally towards the $2272.06 and $2217.10 levels, which stand as prominent targets in the upcoming period.
Our analysis continues to suggest a bearish trend trajectory, supported by the downward pressure exerted by the EMA50. It is pertinent to note that breaching the resistance levels at $2340.10 and $2360.00 would halt the anticipated decline, potentially prompting a resurgence in the main bullish trend.
In terms of expected trading range, we anticipate movement between the $2315.00 support and $2350.00 resistance levels.
Overall Trend Forecast: Bearish
