GOLD 4-HOUR

TECHNICAL ANALYSIS

Gold is back into the indecision zone after failing to break the 1400 resistance zone on the monthly chart and still showing a bearish bias. The price is now in large monthly support which may give some bounces on the daily and lower time frames.

The 4-hour timeframe is already showing some exhaustion in the sellers with 3 complete waves (1,2,3) of selling as it hits into the large monthly support marked M around 1159.87. The major con in this exhaustion is the weakness in the corrective moves (highlighted gray ellipses). The momentum in the buyers in the corrective moves is very weak compared to the sell offs (waves labeled 1,2,3) which shows a less conviction in the buyers.

But a close above pink trendline R may lead price back into resistance zone around 1211.22 marked T. Close below M disqualifies the setup