Gold Market Analysis:
Unfortunately, the inverted hammer pattern emerged, and the price continued testing the recent low around 3330.
Although it held, the bearish engulfing pattern suggests that the bullish momentum has yet to recover.
The price correction from the past two days is gradually turning into a consolidation phase.
Notably, after breaking higher the day before yesterday, yesterday’s price action reversed sharply, breaking below the previous day’s low and extinguishing the bullish momentum.
Key Observations:
1. The day before yesterday saw an upward move, with the morning low acting as the dividing line. For the uptrend to continue, the price should not fall below the previous day’s starting point. However, yesterday’s break below that low confirmed the end of the bullish trend.
2. After breaking the low, watch for a potential secondary decline on any rebound.
3. In the afternoon, the downtrend continued, testing the previous low of 3330. In a downtrend, we avoid betting on a double bottom.
Today’s Situation:
The hourly chart shows a brief rebound with consecutive bullish candles, but after testing 3350, the price faced resistance and pulled back. Currently, it is consolidating around 3340.
Short-Term Outlook:
– Resistance Levels: 3357-3363
– Support Level: 3330 (A break below this level would signal a continuation of the downtrend).
(For detailed trading strategies, refer to member updates.)
Thank you all for your likes, comments and follows, we really appreciate it!
