FX.co ★ XAU/USD, GOLD

Gold Scalping Analysis: I am currently discussing a trend analysis of the gold price. On the hourly chart, gold appears to be trading within a bullish channel. Yesterday, gold rose to 4932.16. The price briefly broke above this level before reversing and turning downward. On Monday, I expect gold to continue its decline toward the lower boundary of the channel, possibly reaching 4872.16. The chart shows that gold has entered a price and volume accumulation zone. I expect an uptrend, but it will take time. Overcoming resistance in one go will be difficult. The indicators support this view. The RSI is beginning to turn downward, and the AO is showing a buy signal near a reversal. Gold is likely to have broken above the previous days range. While these signals generally suggest a reversal, I am somewhat cautious because the RSI has not yet reached the overbought zone.

If that were the case, I would be more confident. Given the current situation, gold could fall to the support level of 4916.16 or rise to 4946.16 and then test this. Support levels are likely to be tested, after which prices may break out of recent highs. The performance of gold is contributing to this pullback. Gold tends to act as a safe haven in crude oil trading, but demand for gold remains low due to the stability of crude oil markets, particularly in the Middle East, and a lack of strong buyers. Without demand, gold prices are unlikely to rise significantly anytime soon. As such, we expect a pullback on Monday. However, the market will come into its own after the open, and it would not be surprising to see a gap-down.