After a bearish Shooting Star candlestick pattern and negative RSI divergence(Daily chart), Gold price has dropped over $20 from the top $1346.7. Despite Dollar index DXY falls to 96 level affected by the Fed Chairman Jerome Powell testimony in Day 1, Gold price hasn’t moved that much surprisingly and is now expected to go into triangle pattern. Stronger risk appetite in the market may be one of the reason making this safe-haven metal pressured.
Looking ahead, waiting for the triangle breakout is the best strategy. For the downside target, as there is a trend line support, the Gold price is expected to reach around $1318 (still bullish view), but for the upside target, the Gold price may go back to around $1338-$1340 level.
Looking ahead, waiting for the triangle breakout is the best strategy. For the downside target, as there is a trend line support, the Gold price is expected to reach around $1318 (still bullish view), but for the upside target, the Gold price may go back to around $1338-$1340 level.