Greetings dear traders. we again come with XAUUSD Technical Analysis. Let’s dive into the Analysis.
XAUUSD (Gold) Technical Analysis by Guriforex for June 3, 2024:
The XAUUSD (gold) is moving within a descending triangle pattern. It is retesting the critical 2330 resistance zone. This is a crucial juncture for the asset, as it could indicate the future direction of price movement. The moving averages are also providing significant insights: the 50-day moving average (MA) has crossed the 100-day MA and is on track to cross the 200-day MA soon. This crossover typically signals a potential bearish sentiment, suggesting that traders should be cautious of a possible downward trend.
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If the price manages to break above the 2330 resistance level, it could trigger a bullish movement. Consequently, the next target for XAUUSD would be the 2355 resistance level. Subsequently, a break above this zone could attract more buyers, leading to a surge in price as market sentiment becomes optimistic. Therefore, traders seeking a breakout opportunity should closely monitor this level and be prepared for potential upward momentum.
🔽 If the price fails to break the 2330 resistance, it may continue the descending triangle pattern. Consequently, this failure suggests ongoing bearish sentiment, prompting traders to watch for signs of weakness. In this scenario, the asset could drop to the 2295 support level. A failure to hold above 2330 would suggest that sellers are still in control, increasing the likelihood of a bearish trend. Traders should watch for signs of weakness and be prepared for a possible decline if the retest fails.
This technical analysis highlights the importance of monitoring key levels and indicators. The outcome of the current retest at 2330 will play a pivotal role in determining the next move for XAUUSD. Whether you’re a day trader or a long-term investor, keeping an eye on these critical levels and the behavior of moving averages can provide valuable insights.
If you are trading XAUUSD today, share your thoughts and strategies in the comments below!