• Ahead of upcoming PPI data, Gold digs heels at $2,645.

  • Recent dip completed 38.2% Fibonacci correction at $2,603.

  • Clearing through Iniitial hurdle at $2,660 to pave way for further rally.

  • Bargain hunters initiate longs anticipating retest of swing high $2,685.

Chart

Recent decline completed 38.2% fibonacci retracement at $2603 where bargain hunters resurfaced for value buying as geopolitical crisis refuses to show any signs of peace and safe haven demand continues to fuel rally in Gold ahead which prompts smart money flowing into Gold than Dollar itself.

Stability above $2435-$2430 is a positive signal for continuation of prevailing bullish trend in Gold which once clears immediate hurdle at $2660 which aligns with descending channel resistance, way opens for further advance towards swing high $2685

On the other hand, break below $2630 with stability below the zone will eventually drag the metal lower towards $2616-$2603 again.

The views of the article are based on price action studies, technical analysis and chart-based studies. The author does not hold positions on items he writes about. The views expressed are for educational purposes and are not trading advice.

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