Gold, after reaching the low of the 5/8 Murray around 3,300, rebounded strongly, gaining more than $100 in less than a week. We believe it could be facing a strong technical correction, as the 8/8 Murray represents a strong barrier.
If gold consolidates below the 8/8 Murray in the coming hours, it will be seen as a selling opportunity with a target at the 7/8 Murray around 3,398. The price could even reach the support of the 6/8 Murray around 3,359.
We could have a positive outlook for gold if it consolidates above 3,437. Then, it could reach the +1/8 Murray at 3,472 and even get the psychological level of $3,500.
The Eagle indicator is reaching extremely overbought levels, so an accelerated technical correction is imminent in the coming hours. Therefore, we will look for opportunities to sell below 3,437.
