Gold has managed to rally over the entire week after having carved lows around $1678 last week. The yellow metal has touched $1758 yesterday before pulling back. Immediate price support is seen around $1735 mark and a break below that could accelerate further.
Gold wave structure is indicating that it might have completed a flat Wave 4 around $1758 levels. As labeled on the 4H chart here, the yellow metal might have terminated Waves 1, 2, 3 and potential 4 around $1802, $1876, $1676 and $1758 levels respectively.
If the above proposed structure holds well, Gold might be resuming lower from here towards $1650 and $1550 respectively. Also note that bulls have managed to hit Fibonacci 0.382 retracement of Wave 3, which is a general guideline for terminating Wave 4.
Alternately, Gold might be preparing to push towards $1770/80 levels, before finding resistance again. In that case Wave, 4 might be extending its last leg higher before terminating and reversing lower again.
Either way, Gold bears might remain poised to reverse lower from either current price $1750/55 or from $770/80 levels respectively. Major resistance is seen towards $1876 levels and only a break higher might turn the structure to bullish.
Traders might be preparing to initiate fresh short positions around current levels and targeting lower towards $1650 and $1550 levels respectively. Watch out for a short term support around $1700 mark going forward.
Finacademy Technical Team
Silver has raised through $27.55 levels this morning, alongside most risk assets. The metal has approached a strong resistance zone now and bears might be inclined to take control back soon. Also note that it has almost reached the fibonacci 0.618 retracement of the entire drop between $30.13 and $23.80 levels respectively.
USDJPY bulls are now looking poised to push through 112.00/50 mark, after have carved yet another higher low around 107.50. Please note it bounced off the trend line support since January 2021 lows as well. Looking higher from here for next few weeks.
Gold had raised through $1799 yesterday before reversing sharply towards $1770 before finding support again. The yellow metal is pulling back at the moment and seems to have carved a meaningful top already yesterday. If correct, $1786 might offer strong support.