Gold needs catalysts 9/12/2024

Gold prices continue to trade within a sideways range, remaining constrained between 2620 as support and 2655 as the main resistance level.

Technical Analysis:

• 4-Hour Chart Insights:
  • The simple moving average is attempting to provide a positive push to prices.
  • Meanwhile, the Stochastic indicator shows persistent negative signals, reflecting conflicting technical cues.

Scenarios:

1. Upward Trend:
   • A clear and strong breach above the pivotal resistance at 2655 could signal the resumption of the bullish path.
   • Targets: 2665, 2671, with potential extensions to 2691.
2. Downward Trend:
   • Confirming a break below 2620 would likely trigger a corrective decline.
   • Targets: 2600, 2581, with further losses possible if momentum accelerates.

Warnings:

• Market Volatility: Risks are elevated amidst ongoing geopolitical tensions, and all scenarios remain plausible.
• Risk-Reward Balance: Traders should evaluate whether the potential returns align with the high level of associated risks.

Disclaimer: Trading in CFDs involves risks, and all scenarios are possible. This analysis is not investment advice but rather an interpretation of the current technical landscape for gold.

S1: 2618.00	R1: 2655.00
S2: 2597.00	R2: 2671.00
S3: 2581.00	R3:  2692.00