Hello Everyone,
I don't usually do intraday analysis or charting of precious metals but since Gold and Silver Fomo kicked in globally and most people expecting the price to move above 2000 levels. I wanted to take a look and share the most possible scenarios from my point of view.
After almost 7 consecutive days, Gold finally decided to take a rest along with its little brother Silver. As you can see on the chart, Gold was moving inside an ascending channel, however, once it hit the resistance level, it got rejected and even breakthrough midzone and tested the support of the channel.
There are 3 levels i have marked as horizontal support area below the ascending channel, should the price break through the support of the channel, these areas will be one of the reasonable and key support levels for Gold. Up there i marked 3 Fibonacci levels for possible retest scenarios. If the price retests and gets rejected again, Gold will probably stop an impulsive uptrend and may form a consolidation. On the other hand, if the price continues upward after retesting the said Fib. levels and hits the blue resistance line area, it might give an opportunity for those who seek short positions. Breakthrough and close above the blue resistance zone is an indication of still going bullish trend and the price might test Fibonacci extension levels.
I don't usually do intraday analysis or charting of precious metals but since Gold and Silver Fomo kicked in globally and most people expecting the price to move above 2000 levels. I wanted to take a look and share the most possible scenarios from my point of view.
After almost 7 consecutive days, Gold finally decided to take a rest along with its little brother Silver. As you can see on the chart, Gold was moving inside an ascending channel, however, once it hit the resistance level, it got rejected and even breakthrough midzone and tested the support of the channel.
There are 3 levels i have marked as horizontal support area below the ascending channel, should the price break through the support of the channel, these areas will be one of the reasonable and key support levels for Gold. Up there i marked 3 Fibonacci levels for possible retest scenarios. If the price retests and gets rejected again, Gold will probably stop an impulsive uptrend and may form a consolidation. On the other hand, if the price continues upward after retesting the said Fib. levels and hits the blue resistance line area, it might give an opportunity for those who seek short positions. Breakthrough and close above the blue resistance zone is an indication of still going bullish trend and the price might test Fibonacci extension levels.