Gold can be expected to rise further toward the next resistance level 4100.00 (former support from the start of October).
- Gold reversed from round support level 4000.00
- Likely to rise to resistance level 4100.00
Gold recently reversed up from the support zone between the round support level 4000.00 (which has been reversing the price from June, as can be seen from the daily Gold chart below), support trendline of the daily down channel from September and the lower daily Bollinger Band. The upward reversal from this support zone created the daily Japanese candlesticks reversal pattern Bullish Doji, which stopped the earlier impulse wave (C) of the primary ABC correction 2 from the end of August.
Given the strength of the support level 4000.00 and the cautiously bullish sentiment seen across the precious metal markets today as the oil pullback eases US inflation fears, Gold can be expected to rise further toward the next resistance level 4100.00 (former support from the start of October).