Check out these higher lows and higher lows forming on the 4-hour gold time frame!
Will we see stronger momentum taking it to new highs soon?
Here are the inflection points I've been seeing lately:
Gold (XAU/USD) 4-Hour Frame Chart by TradingView
A combination of risk-off flows and anti-USD sentiment seems to be keeping gold prices afloat these days.
After a sharp decline to the support area at $2,350 and a little consolidation, a short-term bullish breakout can be seen, indicating that there may be more upside for the precious metal.
How far can he go from here?
Doubts about the Fed's ability to maintain its “higher for longer” forecast on borrowing costs appear to be dragging the dollar lower, while concerns about global growth are also encouraging investors to put their money into gold instead.
Remember that directional biases and volatility conditions in market prices are usually driven by fundamentals. If you haven't done your financial homework on the US dollar and gold yet, it's time to check the economic calendar and stay up to date with daily fundamental news!
If this kind of market dynamic continues, the XAU/USD pair may remain on track towards testing the next upside targets such as R3 ($2,397.63) near the key psychological mark of $2,400 and the middle channel area of interest.
Stronger upside momentum beyond this point could lift gold prices to recent highs at $2,450 near R5 ($2,431.09) or channel resistance.
Another top-tier US data point in the form of the May non-farm payrolls report could still make or break the dollar and gold trends, so look for a pullback back to the support zone around the pivot point level and the $2,350 mark if the official jobs numbers revive bank bets. hawkish Fed.
Do you think gold can gain strength in its uptrend?
