MCX Gold navigates a critical juncture, oscillating within a symmetrical triangle formation. This pattern signals the potential for a breakout in either direction, keeping traders on their toes. While the current price action leans towards a bearish bias, with prices residing below the 20 EMA and RSI indicator trending towards the oversold zone, crucial support awaits at the 61800 level.
Support and Resistance Levels:
Support: 61800. A decisive close below this level could trigger a further downward spiral.
Resistance: 62350/62500 (around the 20 EMA). This zone could act as a hurdle for any immediate upward price movements.
Trading Strategy:
Given the current technical picture, a sell on rise strategy targeting the 61800/61500 levels might be considered for the day. However, caution is paramount as a breakout in either direction remains a possibility.
Further Considerations:
- Global economic factors: Rising interest rates and geopolitical tensions could continue to cast a shadow on gold prices.
- Domestic cues: Indian import duty fluctuations and local demand trends can influence the MCX Gold movement.
- Breakout Confirmation: A decisive breakout above the upper trendline (around 63000) could signal a bullish reversal, while a break below 61800 might confirm the bearish trend.
- Remember: This analysis is for informational purposes only and should not be considered financial advice. Always conduct your own research and due diligence before making any trading decisions.
MCX Trend
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