Gold is trying to get rid of negativity 31/5/2022

Gold prices managed to touch the first target published during the previous analysis, located at the price of 1865, recording its highest level during the first trading sessions of this week around 1865.

Technically, prices fell within a limited bearish slope that aimed to retest the 1850 support level, and the current moves are witnessing stability around this level; by looking at the chart, a 4-hour interval, we find the 50-day simple moving average still supporting the resumption of the rise, accompanied by stability above the ground Support 1844 and generally above 1838.

Therefore, we believe that the bullish scenario is still valid and effective, provided that we witness a return to the price stability above 1857 to enhance the chances of touching 1863/1865, taking into consideration that the breach of 1865 increases and accelerates the strength of the bullish bias so that we will wait for 1872 initially.

We remind you that the decline below the pivotal support floor 1838 can thwart the bullish scenario completely. As a result, we are witnessing a negative trading session, with its initial target located around 1825/1826 and extending later towards 1810.

Note: The risk level is high.

S1: 1844.00	R1: 1862.00
S2: 1836.00	R2: 1872.00
S3: 1826.00	R3:  1880.00