Gold broke down this week, as discussed in the recent weekly forecast.
But is now the time to buy, or does XAUUSD have lower to go? Get all of the details in today’s video.
Gold is breaking down this week after failing to hold the $2,700 support.
I mentioned this breakdown in the last Weekly Forex Forecast, highlighting $2,600 as the next target.
XAUUSD hit that $2,600 target on Tuesday, closing below a confluence of support just above it.
This move flipped $2,615 to new resistance, which gold tested yesterday.
As long as XAUUSD stays below the $2,615 region on the higher time frames, I’m looking for gold to range here between $2,600 and $2,530.
There’s also an imbalance below the September 18 low, aligning with the $2,530 support area.
Alternatively, a sustained break above $2,620 would negate the bearish bias and re-expose $2,713.
Longer term, I’m interested in buying gold on a retest of the October 2023 channel support.
Where that level aligns with the price will depend on price action through the remainder of 2024.
But for now, I expect XAUUSD to offer a much-needed correction.
