XAU/USD
Gold recently gained momentum again after experiencing a $100 drop from its new record high last week, and it’s now approaching the psychological barrier of $2,400.
The overall feeling about gold is positive due to concerns about geopolitical tensions and worries that conflicts in the Middle East could worsen. These factors are boosting demand for safe-haven assets like gold, which helps counteract pressure on its price from a stronger dollar.
Although there was a sharp pullback recently, it was limited, and the price was supported by the rising 10-day moving average, which currently stands at $2351. This indicates that larger bullish trends are still in place.
However, there are some cautionary signs. Daily indicators like overbought signals and bearish divergence in the Relative Strength Index (RSI) suggest that a deeper correction could be possible.
In this situation, key support levels at $2300 and $2283, which are both psychological levels and supported by the rising 20-day moving average, should prevent significant downside movement and signify a healthy correction before another upward push.
If the recent record high of $2431 is surpassed, the next major resistance level to watch out for is at $2500.
Res: 2400; 2431; 2453; 2500.
Sup: 2374; 2351; 2320; 2300.
