Trading Signals for GOLD (XAU/USD) for April 10-12, 2024: sell below $2,364 (6/8 Murray - head and shoulders)



Gold is trading around 2,348, bouncing after having reached a daily low of around 2,338. Yesterday during the European session, gold reached a new high at 2,365 and from this level, it made a technical correction. However, the bullish force is still prevailing. So, if the technical rebound continues in the next few hours, the metal could reach 2,358.

In the H1 chart, we can see the formation of a head and shoulders pattern. Hence, this pattern will be a signal that gold could fall in the coming days. The first target will be the bottom of the bullish trend channel at $2,323 forming since March 26.

If gold makes a sharp break of this uptrend channel and a daily close below 2,312, the instrument could accelerate the bearish move and we expect it to reach the 200 EMA located at 2,285. Finally, it could reach 4/8 of Murray located at 2,250.

The strong resistance zone is located from 2,360 towards 2,375. In case of any bounce and as long as the XAU/USD trades below this area, it will be seen as an opportunity to sell.

If gold tries to break this strong resistance at 6/8 Murray in the next few hours and if it fails to overcome this level, and if gold falls below this area, it will be seen as an opportunity to sell with the target at 2,312.

Meanwhile, there could be a consolidation in gold between 2,350 and 2,320. Around this range zone, we could look for opportunities to buy and sell.

The eagle indicator is giving a negative signal and could support our bearish strategy only in case gold falls below 2,358.

The material has been provided by InstaForex Company - #

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