Gold prices show positive momentum for the third consecutive day, buoyed by the Fed's mild expectations. The weakening USD, nearing its lowest since September, further supports the precious metal. From a technical standpoint, any move beyond the overnight high around $1,970-$1,971 may encounter resistance near the $1,980 region. Further buying could push Gold towards the $1,991-$1,992 barrier, aiming for the psychological $2,000 mark and reaching multi-month highs around $2,009-$2,010. Sustained strength above these levels would be a catalyst for bullish traders, paving the way for another short-term upward move.
On the flip side, a potential pullback correction might attract buyers and could be capped near the $1,950-$1,949 range. Subsequent support includes the 200-day SMA, currently around $1,935, and the convergence of the SMA 100 and 50 around the $1,928-$1,925 area. Failure to defend these support levels may accelerate a rapid downturn towards the significant $1,900 mark.
On the flip side, a potential pullback correction might attract buyers and could be capped near the $1,950-$1,949 range. Subsequent support includes the 200-day SMA, currently around $1,935, and the convergence of the SMA 100 and 50 around the $1,928-$1,925 area. Failure to defend these support levels may accelerate a rapid downturn towards the significant $1,900 mark.
