Bullish Gold: Navigating the Upswing with Fibonacci and Technical Indicators
Solid ECN – The gold price returned upward after it touched the 38.2% Fibonacci level, which coincides with the EMA 50 and the Ichimoku cloud at the $2,324 mark. Interestingly, the XAU/USD 4-hour chart formed a bullish long-wick candlestick pattern, which signals the continuation of the bull market.
As of this writing, the yellow metal is trading at about $2,370, slightly above the 23.6% Fibonacci support. The technical indicators are also bullish. The RSI indicator hovers above the 50 level and the Awesome Oscillator bars are green and above the signal line.
From a technical perspective, as long as the price remains above the EMA 50 and inside the flag, the market trend remains bullish. The next target will likely be April’s high at the $2,432 mark.
Conversely, the bull market is invalidated if the XAU/USD price dips below the 38.2% Fibonacci support.