Lingrid | GOLD Weekly Technical Analysis

market made a bearish move earlier in the week but rebounded on Thursday and Friday. Despite the current volatility, a sideways movement appears likely following these recent fluctuations. The price bounced off a support level after the FEDs decision to cut rates, but we also saw some bearish movement, closing Friday's session in the red. It closed below the psychological level of 2700, indicating a potential consolidation between the 2600 and 2700 levels after facing strong resistance.

On the daily timeframe, the market may be forming an ABC pullback toward the 2600 support level, as it has not tested this level since breaking and closing above it in September and October. Looking at the 4H timeframe, we can clearly see a shift in market structure, by prices making lower lows and lower closes, along with a breakout from the upward channel. The market had been contained within this channel for the past three months, but it has now broken out, retested the channel, and is currently showing signs of a rebound.

Given that the gold market often creates triangular patterns, we may see this formation develop in the first half of next week. I anticipate continued consolidation, as prices typically tend to move sideways or form a two-legged pullback following significant movements, much like we observed last month.

Traders, if you liked this idea or if you have your own opinion about it, write in the comments. I will be glad 👩‍💻

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The gold market is currently moving towards the previous week's low. With no high-impact news scheduled for today, it's likely to be a sideways trading day. The market recently bounced off the channel border and the psychological level at 2700. Looking to the left, we can see that the market had previously bounced off the resistance area and tested the support level just above the 2600 level. If the market manages to break and close below the previous week’s low, I anticipate that it may move below the October low. I expect the market to head towards the next psychological level below. My mid-term goal is support zone around 2605

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