Gold Price Analysis: Bears to target a run to weekly support at $1,765
|- Gold is testing the bear's commitments at the resistance structure.
- Weekly support could be their target if bulls capitulate at this juncture.
As per the prior analysis, where gold was presumed to move higher given the structure and bullish chart formation, explained here, the bulls did indeed extend to the target:
Live market, 1-hour chart
Here was the prior analysis:
And here it was from a daily perspective, noting the M-formation and target at the neckline:
What now?
There is still room for some additional gains to the upside from where it will be make or break time.
Daily chart, gold
An extra push deeper into the bear's lair could be on the cards in a fuller test of the resistance area.
A break of which will open prospects of a run to the prior highs and/or higher still.
If the bears jump on this from there, then a strong possibility will be for a downside extension of the last bearish impulse from which the price has been correcting to a 61.8% Fibonacci retracement.
However, from that juncture, the bulls will most probably step up to the plate to protect weekly support at $1,765:
Weekly chart, gold
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.