Here's the (GOLD) analysis based on the 4-hour time frameHere's the analysis based on the 4-hour time frame CAPITALCOM:GOLD
Analysis:
1. **Resistance Zone:**
- The price has approached a clear resistance zone (around 2660–2670) where sellers may step in. This zone has been tested before, making it significant.
2. **Bearish Price Action:**
- The recent candlesticks near resistance suggest hesitation, possibly indicating seller strength.
- If a bearish engulfing or similar rejection pattern forms, it may confirm a potential reversal.
3. **Moving Averages:**
- The moving averages (possibly EMA or SMA) show alignment below the current price, indicating a recent bullish move. However, a pullback to the moving averages is typical in such cases.
4. **Volume:**
- (Not visible on the chart) If volume is decreasing near the resistance zone, it strengthens the bearish bias.
Suggested Sell Targets:
1. **First Target (T1):** 2645
- Minor support zone and close to the first EMA.
2. **Second Target (T2):** 2621
- A previous support level and aligns with the middle of the range.
3. **Third Target (T3):** 2608
- Strong support zone; price could bounce from here.
Stop Loss:
- Place your stop loss slightly above the resistance zone, around **2675**, to avoid being stopped out by false breakouts.
Recommendation:
- Wait for confirmation via bearish candlestick patterns (like engulfing or pin bars) before entering.
- Watch the volume and any fundamental news that could impact gold.
