GOLD Forecast

An additional indicator supporting the potential rise of XAU/USD is a test of the support line on the RSI. Another confirmation comes from a rebound off the lower boundary of the bullish channel.

If XAU/USD fails to hold and drops below 2670, it could signify a breakdown of the support zone and a continuation of the downtrend toward levels below 2625. Conversely, a breakout above 2730 and a close above this level would likely accelerate the upward momentum of XAU/USD.

The forecast also points to a potential short-term bearish correction, testing support around 2695. Afterward, a continuation of the uptrend is expected, targeting prices above 2765.

In summary, maintaining above 2670 keeps the bullish scenario intact, while a fall below this level confirms a broader decline toward the 2625 zone. On the other hand, breaking and closing above 2730 strengthens the case for further gains in XAU/USD.

Gold prices (XAUUSD) are poised for growth this week, supported by key technical indicators. A bounce from the trend line on the Relative Strength Index (RSI) provides a strong signal for an upward move. Additionally, a rebound from the upper edge of the “Triangle” pattern reinforces the bullish outlook.

However, a bearish scenario could emerge if prices fall below 2495, signaling a support level breakdown and potential continuation of the decline towards 2425.

A confirmed bullish breakout will occur if XAUUSD surpasses 2745, breaking through the resistance zone and completing the “Triangle” pattern. In this case, Gold may aim for a target above 3025.

The initial movement may involve testing support near 2675, followed by further gains. RSI testing the trend line will bolster confidence in rising prices. Conversely, breaking below 2495 would negate the growth scenario and point to further declines below 2425.

This outlook balances the possibility of a pullback with a strong chance for Gold to achieve higher targets.

A potential sell signal in XAU/USD arises from the test of the resistance line on the RSI indicator. A second confirmation comes from a rebound at the upper border of the bearish channel. Cancellation of this bearish outlook will occur with a strong price surge, breaking above the 2735 level, signaling continued growth towards 2785.

SELL Setup: Expect further declines in XAU/USD if prices break the support area and close below 2605, signaling the breakout of the lower boundary of the "Triangle" pattern. This would target levels below.

Correction Attempt: There’s a possibility of a bullish correction, testing resistance near 2715. However, if prices fail to hold and drop below 2605, anticipate continued downward pressure in non-ferrous metals.

Cancellation of bearish outlook: A strong price increase above 2735 would negate the bearish scenario, leading to a continued rise with a target above 2785.

An additional signal supporting the potential decrease in XAU/USD prices is the test of the resistance line on the RSI indicator. Another bearish confirmation comes from the price rebound at the upper boundary of the descending channel.

Key Levels:

• A strong rise above 2725 will invalidate the bearish outlook, signaling a breakout of the resistance zone and a potential rally toward 2775.
• Conversely, breaking below the 2605 support and closing below it would confirm the breakdown of the lower border of the "Triangle" pattern, accelerating the decline with targets below 2585.

Potential Scenario:
Before the decline continues, a brief bullish correction may occur, testing resistance near 2695. If the correction fails to sustain momentum, prices are expected to resume their fall, targeting levels below 2585.

Reversal Signal:
A breakout and consolidation above 2725 will suggest sustained upward movement, with a potential rally exceeding 2775.

A potential decline in XAU/USD is indicated by the RSI testing the resistance line. Another sign supporting this downward movement is a rebound from the upper boundary of the bearish channel.

If the Gold price surpasses 2725 on 15 Jan 2025, it may signal a breakout of the resistance zone, pointing to further growth towards 2775 or higher. Conversely, a drop below 2605 could confirm a breakout of the lower boundary of the "Triangle" pattern, triggering a decline to new lows.

There’s a possibility of a short-term bullish correction towards the resistance at 2695, followed by continued downward movement aiming below 2575. Should the Gold price break above 2725, the bearish scenario would be invalidated, signaling sustained growth with targets exceeding 2775.

Key Levels:

• Resistance: 2695, 2725, 2775
• Support: 2605, 2575

Watch for signals to confirm momentum in either direction.

A potential signal for a decline in XAU/USD is a test of the resistance line on the RSI indicator, combined with a rebound from the upper boundary of the bearish channel. If the price of Gold rises sharply and breaks the 2725 level on 14 January 2025, this will invalidate the bearish scenario, signaling continued growth towards 2765 or higher.

Conversely, a breakdown of the support level near 2585 and a close below it would confirm the lower boundary breach of the “Triangle” pattern, initiating a decline with targets below 2535. Before this move, a temporary bullish correction may test resistance around the 2685 level, after which the decline in Gold quotes is expected to resume.

A sharp increase in the asset price that breaks through the 2725 mark will cancel the decline outlook and signal further upward momentum with targets above 2765.

An additional indicator supporting a decline in XAU/USD is a resistance line test on the RSI. Another confirmation comes from a rebound off the bearish channel's upper boundary.

Key Levels and Scenarios:

• January 10, 2025:
  • Bearish Continuation: A breakout below 2605 would confirm a breakdown of the “Wedge” pattern’s lower boundary, signaling a deeper decline with targets below 2565.
  • Invalidation: A strong price surge beyond 2715 would negate the bearish outlook, suggesting continued growth toward 2755 or higher.
• Correction Potential:
  • A short-term bullish correction may test resistance near 2690, after which the downtrend is expected to resume toward the 2565 target.

Summary:

Watch for a break below 2605 to confirm further bearish momentum, while a sustained move above 2715 would signal a shift toward bullish continuation.

An additional sign for a potential XAU/USD decline is testing the resistance line on the RSI indicator. Another key signal is a bounce from the top edge of the bearish channel.

Key Levels:

• Critical Resistance Breakout (Invalidates SELL): If XAU/USD surpasses 2705, it signals a breakout of the resistance zone, with potential growth toward 2755 and beyond.
• Target for Decline: A drop below 2635 confirms a breakout of the “Wedge” reversal pattern, signaling further decline toward levels under 2555.

Forecast Highlights:

• A short-term bullish correction could test resistance at 2685, but a continuation of the downward trend remains likely.
• The scenario for falling prices remains valid unless a strong price surge breaches the 2705 level.

This concise analysis outlines the key factors for monitoring XAU/USD's movement as of 09-Jan-2025.

A potential decrease in XAU/USD is signaled by two key factors:

1. A test of the resistance line on the RSI indicator.
2. A rebound from the upper boundary of the bearish channel.

The downtrend scenario for January 7, 2025 will be invalidated if the price surges above 2675, breaking through the resistance zone. Such a breakout would suggest continued upward movement, targeting levels above 2735.

In contrast, if XAU/USD breaks below the support area near 2595 and closes lower, it will confirm a breach of the lower boundary of the bullish correction channel, likely accelerating the decline.

The price may initially attempt a bullish correction, testing the resistance near 2645. However, further declines are anticipated, with a target below 2545. Any significant price increase above 2675 would cancel the bearish outlook, signaling a continued rally in gold prices toward 2735 or higher.