Gold is trading around $3,987 within an upward trend channel formed on October 27 and is likely to continue rising in the coming days until it reaches the top of the upward trend channel, around $4,120.
If the price consolidates above the 200 EMA at 3,955 in the coming hours, any technical bounce, as long as the price remains above this zone, could be seen as a buying opportunity with short-term targets around the 7/8 Murray level at 4,218.
Conversely, if the instrument falls below 3,950, we could expect it to reach the 5/8 Murray level around 3,906 and even continue its downward cycle, reaching the 4/8 Murray level around 3,750.
The Eagle indicator is showing a positive signal, so we will look for buying opportunities in gold in the coming hours if the price consolidates within the ascending trend channel.
