Current price: 4977
Key point: 4875
Our preferred strategy: Buy positions above 4875 with a first target of 5110 and then a second target of 5345.
Alternative scenario: Stop loss and trend reversal upon breaking the 4865 level, targeting the 4770 level.
Technical commentary
Gold is holding above the key support level of 4875, above the 200-period moving average on the four-hour timeframe, and above the upward trend line from the low of last August.
With gold holding above 4940, it is expected to rise to the 5110-5090 levels. If it breaks through and holds above these levels, the price will head towards 5345.
