Current price: 5050
Key point: 4990
Our preferred strategy: Sell positions below 4990 with a first target of 5110 and then a second target of 5350.
Alternative scenario: Stop loss and trend reversal upon breaking the 4970 level, targeting the 4850 level.
Technical commentary
Gold remains above the key support level of 4720, above the 200-period moving average on the four-hour timeframe, and above the upward trend line from the low of last August.
If gold holds above 4990, it is expected to rise to 5110. If it breaks through and holds above this level, the price will head towards 5300.
