It must be said that the common opinion is that the prices of the precious metal (real-time price) will continue to rise in the coming months. However, even in very long directional movements there are technical retracements that can be harbingers of losses or buying opportunities. It depends on the skill of the investor. For this reason, it is very important to identify the critical levels which are better than to leave the position and return to more convenient levels.
The gold rush seems endless: the critical levels to be monitored according to the graphical and forecast analysis
Daily time frame
The last two sessions marked a very important milestone: the breakdown of the strong resistance in the $ 1804 area. At this point there are the preconditions for the rise to continue up to the 3rd price targets in the $ 1871 area. It should be noted that despite the last downward session, the bulls have shown considerable strength by managing to prevent the break of the support in the $ 1804 area.
Clearly, the daily closing break of the support in the $ 18044 area could bring the prices down to the $ 1779 area.
Weekly time frame
On the weekly all proceed as per manual. New week on the upside with target in the $ 1975 area and maximum extension in the $ 2220 area.
Wanting to be hyper-cautious, we note how the $ 1823 air resistance rejected the quotes. This weakness should not be overlooked. Prices, in fact, could, without any impact on the current trend, go down to support in the $ 1730 area.
Only a weekly close below $ 1730 would question the ongoing bullish trend.
Time frame mensile
Also on the monthly everything proceeds as expected with the quotations directed towards the third price target in the $ 1917 area. A monthly close above $ 1831 would be required to achieve this goal.