The gold market experienced several pullbacks this week, but it rebounded during the US trading session, driven by risk aversion, ultimately closing at a relatively high level. Current geopolitical uncertainty continues to support gold prices, keeping the metal strong. On a weekly basis, gold has risen for eight consecutive weeks, maintaining an overall bullish trend. Weekly support is currently around 3944, with resistance primarily focused on the 4040 area, followed by this week's high near 4059.
On a daily basis, gold rebounded after a second dip on Friday, ultimately closing at the high, indicating strong buying support at lower levels. This provides a positive signal for the medium- to long-term market trend. At the same time, the daily chart shows that the closing price is above the 5-day moving average, and the short-term trend continues to be bullish based on the 5-day moving average.
The 4-hour Bollinger Bands are flattening, suggesting a period of high volatility in the short term. The candlestick chart has closed above the middle band, and the 5-day moving average is converging with the 10-day moving average and is about to diverge upwards. This indicates that gold is currently experiencing a volatile and strong trend, with the potential for further upward movement in the short term.
Based on a comprehensive analysis of technical patterns and fundamental factors, long-term dips remain the primary strategy unless a clear reversal signal emerges.
At the beginning of next week, the focus will be on whether prices can continue their upward momentum, but at the same time, we must be wary of the risk of a pullback if we fail to break through the upward resistance.
On a daily basis, gold rebounded after a second dip on Friday, ultimately closing at the high, indicating strong buying support at lower levels. This provides a positive signal for the medium- to long-term market trend. At the same time, the daily chart shows that the closing price is above the 5-day moving average, and the short-term trend continues to be bullish based on the 5-day moving average.
The 4-hour Bollinger Bands are flattening, suggesting a period of high volatility in the short term. The candlestick chart has closed above the middle band, and the 5-day moving average is converging with the 10-day moving average and is about to diverge upwards. This indicates that gold is currently experiencing a volatile and strong trend, with the potential for further upward movement in the short term.
Based on a comprehensive analysis of technical patterns and fundamental factors, long-term dips remain the primary strategy unless a clear reversal signal emerges.
At the beginning of next week, the focus will be on whether prices can continue their upward momentum, but at the same time, we must be wary of the risk of a pullback if we fail to break through the upward resistance.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.