Gold is waiting for a movement signal 19/3/2024

Gold prices experienced mixed trading during the first trading session of the week, testing the main support level around 2145 and maintaining positive stability above it.

From a technical perspective, examining the 4-hour time frame chart reveals that gold remains stable above the previously breached resistance, now acting as a support level at 2145, which coincides with the 23.60% Fibonacci retracement. However, the Stochastic indicator shows a gradual loss of momentum, despite trading stability below the 2170 level.

Given these conflicting technical signals, it’s prudent to monitor price behavior for potential scenarios:

1. Breaking below 2145 could trigger a downward correction, with targets at 2131 initially and potentially extending further down to 2114.
2. Conversely, surpassing and consolidating the price above 2170 would signal strength and increase the likelihood of reaching 2185 and 2200 as potential targets.

Warning: The current geopolitical tensions contribute to a high level of risk, and heightened price volatility may be observed. It’s important to stay informed and exercise caution when trading.

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: 2145.00	R1: 2167.00
S2: 2138.00	R2: 2174.00
S3: 2131.00	R3:  2185.00