Early in the American session, gold is trading around 2,490.29, below the 8/8 Murray, and below the psychological level of 2,500.
Gold has been following a bullish trend, forming since August 15. The metal is about to test the bottom of this channel on the H1 chart. Therefore, a technical rebound is expected to occur around 2,485. Thus, gold could resume its bullish cycle and reach 2,500 (21 SMA) and finally, 2,510.
At the opening of trading this week, gold left a gap at 2,509. After a technical rebound, the price could cover this gap and could even reach 2,519. Finally, the metal could climb higher than 1/8 of Murray located at 2,539.
If gold drops below 2,480, the outlook will remain negative and we could expect it to reach the 200 EMA located at 2,454. Eventually, it could reach the 6/8 Murray at 2,421.
