Gold Ascending Triangle Breakout

Technical Analysis:

The possibility of Gold breaking the current resistance is higher than ever. This is the courtesy of the recent symmetrical triangle breakout and buyers stepping in at premium prices to push the yellow metal further upward.

Furthermore, we can see price maintaining the uptrend by respecting the trend lines; currently having price at a higher low.

Furthermore, Gold is currently trading at a Breaker Block and Daily Bullish fair value gap, where buyers may be interested to step in, as the FVG encapsulates two strong bullish unmitigated Demand zones, courtesy of previous week bullish price action.
In an unlikely scenario where Gold breaks these levels, it’ll be important to carefully assess the market for any support/ demand zones.

However, the current chart patterns and price action supports a bullish sentiment.


Fundamental Analysis:

The inauguration of Donald Trump as the president of USA and his high tariff proposals which creates uncertainties in the market with the inflation building up and a possible Fed rate cut all hand their consent to a bullish continuation to the yellow metal.

Geopolitical tensions which remain open to escalation are also increasing the safe-haven demand of the yellow metal.

It is important to monitor market movements, use a good risk management plan with predetermined stop losses when approaching the market, as market conditions are fully subject to sudden for gradual changes.

Wishing all traders a profitable week!