Gold: Bullish Flag Formation Suggests Further Upside Potential

Hello guys, let's dive into Gold analysis!

Gold is currently forming a bullish flag pattern, a continuation formation that typically follows a strong upward impulse (flagpole). After a sharp rally, the price consolidated within a downward channel, creating the classic flag structure.

🔍 Technical Breakdown:

Flagpole: The strong bullish rally in early April marks the beginning of the uptrend.
Flag (Channel): Price has corrected in a downward-sloping channel, respecting both upper and lower bounds, creating a textbook flag pattern.
Breakout Zone: Price is now testing the upper boundary of the flag. A confirmed breakout above this resistance would signal a continuation of the prior uptrend.

🎯 Price Targets:

First Target: Around $3,445, which aligns with the measured move from the breakout point.
Second Target: Around $3,725, representing full flagpole projection from the breakout zone.

📌 Key Levels to Watch:
Breakout Confirmation: A strong 4H close above the flag’s upper boundary (~$3,260) with volume confirmation would validate the pattern.
_____________________________________

Invalidation: A rejection from the resistance and a fall below the channel may delay the bullish scenario, potentially retesting lower support around $3,090.

📊 Conclusion:
This setup favors bulls, but patience is key. Traders may consider waiting for a clear breakout and retest for safer long entries, aiming for the outlined targets.

ノート

The channel is not broken yet!

6 日前

トレード稼働中