Hello traders. XAUUSD GOLD. Gold made a good move to the upside yesterday, reaching a resistance zone based on recent highs. The further direction will depend on whether there is a breakout or a bounce. I am considering a scenario where price moves towards the support zone around 4500-10, but it may not be wise to open short positions based on this assumption. It is better to wait for more confirmation from the technical analysis. On the hourly chart, indicators are still bullish, but the Bollinger Band is slowly hinting at the end of the upward impulse, and one of the sub-indicators is showing a bearish divergence, suggesting a possible reversal. On the 4-hour chart, indicators are still bearish, so I see selling as a more priority option for myself. The chart of this timeframe shows a sideways movement within the Bollinger Band channel, with the price currently near the upper band. Therefore, in the short term, I expect a move towards the lower band, which aligns with the support zone. It will then be clear whether the bears can take advantage of the situation and seize control.
