Current price: 5205
Key point: 5120
Our preferred strategy: Buy positions above 5120 with a first target of 5250 and then a second target of 5470.
Alternative scenario: Stop loss and trend reversal upon breaking the 5100 level, targeting the 5000 level.
Technical commentary
Gold began the week with an upward price gap, then reached levels of 5420 before falling to the pivotal support levels of 5090-5110, above the upward trend line from the February low and above the 200-period moving average on the four-hour timeframe.
If it holds above the aforementioned support levels, gold will head back towards the 5250 level and then the 5470 level.
