Gold touches targets and extends its gains 9/1/2023

Gold prices achieved substantial gains, taking advantage of the USD decline within the positive outlook, as we expected during last week’s trading, touching the official target station at $1880 per ounce.

Technically, and by looking at the 4-hour chart, we note the stability of the price above the 50-day simple moving average, which continues to hold the price from below and meets near the support level of 1830 and adds more strength to it, and this comes in conjunction with the clear positive momentum signs on momentum indicator.

The expected tendency during today’s session is still bullish, with intraday trading remaining above 1845 and above 1830. We need to witness a clear and strong breach of the pivotal resistance level of 1880, which increases the strength of the bullish daily trend to enhance gold’s gains, to be waiting for 1894, and the gains may extend later towards 1900.

Trading stability below 1845 postpones the chances of rising but does not cancel them, and we may witness a re-test of 1830 before attempts to rise again.

Note: Stochastic is around overbought areas, and we may witness some fluctuation before getting the official trend.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1845.00	R1: 1894.00
S2: 1813.00	R2: 1911.00
S3: 1796.00	R3:  1945.00