GOLD → Correction after a false breakout. What's next?

XAUUSD reaches a key resistance that stops a strong rally. A false breakdown triggered a correction, which could be a chance for comfortable buys.



The gold price stabilized around $2,725 after a three-day climb, remaining under profit taking pressure. Strong data on China's economy failed to inspire the market as real estate concerns and possible U.S. tariffs dampened optimism.
Expectations of Fed rate cuts continue to support gold despite mixed data on the US labor market and retail sales. The Fed chief's statements about possible rate cuts in the first half of the year are adding support to the metal.
Next week, traders' attention will be focused on US housing and industrial production data.

Support levels: 2700, 2697
Resistance levels: 2712, 2721

Global and local trend is bullish. Counter-trend correction is being formed. Technically, the correction may reach the zone of interest 2700 - 2697, from which we should expect a rebound, for example, to 2712, or even the recovery of the bullish trend.

Regards R. Linda!