GOLD: Continues bullish with smaller, technical setbacks! 🔴 The current gold analysis on October 21, 23 🔴 Chart analysis, weekly outlook and trading setups

ABSTRACT: The precious metal gold was able to recover further in the last few trading days. Things went up dynamically at times this trading week. The increases were repeatedly consolidated, which is clearly visible in the chart. The 4h chart can therefore be interpreted bullishly. This means that the chart picture has brightened bullishly. As long as gold can stay above the SMA20 (currently at $1,957.7), things could continue to rise. The basic direction and mood is still bullish, but the danger of shorter setbacks is now also acute.

• Current gold analysis on October 21, 2023: Chart analysis, weekly outlook, trading setups and more – for active day traders

• Latest news about gold Trading 🔴 Gold Trading Ideas 🔴 Gold Forecast & Outlook

Gold review: (10/16/2023 – 10/20/2023)

Gold was trading at $1,914.9 on Monday morning. The precious metal was 63.30 US dollars above the level on Monday morning of the previous week but 13.30 US dollars below the weekly closing on Friday evening. Gold moved sideways in a box on Monday, then recovered somewhat on Tuesday, but did not rise significantly above the $1,930 mark. It wasn’t until the middle of the week that greater buying pressure emerged again. It initially went into the $1,950 area and then continued upwards. By Friday afternoon, gold had almost reached the $2,000 mark, but fell slightly again on Friday evening. The precious metal was lost $1,979.5 from weekly trading.

The weekly high was formatted well above the level of the previous week and just below the 2,000 US dollar mark, the weekly low was also found well above the mark of the last weekly closing. The weekly high and weekly low were once again above the $1,900 mark. Also in the past trading week one could significant weekly gain are reported, the second in a row and the 21st this year. The range was slightly larger than in the previous week and was once again above the annual average.

On the upside, we had expected gold to reach our maximum run-up target at $1,978.2 when it crossed the $1,976.1 mark. This movement has occurred, the maximum starting target has been reached and clearly exceeded, The setup didn’t work, but the general assessment that the bulls had the upper hand was completely correct! The setbacks fell below US$1,910.2, just below our next target on the downside at US$1,908.3.

Gold – What could happen next:

Gold resistors

• 1,981.1
• 1,998.1
• 2,005.3
• 2,022.0
• 2,048.1
• 2,078.5

Gold supports

• 1,965.7
• 1,957.7
• 1,938.6
• 1,936.4
• 1,930.7
• 1,918.5
• 1,913.6
• 1,903.7
• 1,898.6

The most important brands based on our gold setup:

• Intraday mark 2,023 and 1,942
• Daily closing marks 2,041 and 1,871
• Break1 Bull (Where-End) (1,916)
• Break2 Bull (Mon end) (2,041)
• Cyclical movements 2020 – 2033
• Box range 2,223 to 1,087
• Range 2,484 to 746

Gold chart check – viewing in the daily / 4h chart:

DAILY

In the daily chart it can be seen that gold initially reached the SMA200 (currently at 1,930.7 US dollars) and had some difficulties getting further here. Only after another setback did we cross this line with momentum in the middle of the week. This means that the daily chart has brightened bullishly.

As long as gold can stay above the SMA200 at the end of the day, it is conceivable and possible that further recoveries could occur that have the prospect of heading towards the annual high.

However, some are easily conceivable in the coming trading days (technical) setbacks. If these go back to the SMA200, this would be interpreted as uncritical as long as the precious metal manages to stabilize and recover within the orbit of this line. If the SMA200 were to be abandoned again at the end of the day, the chart picture would become cloudy again. Further setbacks would then be conceivable, which could reach the SMA50 (currently at 1,903.7 US dollars) and then further to the SMA20 (currently at 1,882.9 US dollars).

• Classification of higher-level chart image, forecast (Daily chart): bullish

View in the 4h chart:

The precious metal was able to recover further in the last few trading days. Things went up dynamically at times this trading week. The increases were repeatedly consolidated, which is clearly visible in the chart. The 4h chart can therefore be interpreted bullishly.

This means that the chart picture has brightened bullishly. As long as gold can stay above the SMA20 (currently at $1,957.7), things could continue to rise. Conceivable start-up goals were defined on an hourly basis.

If setbacks occur, they could initially reach the SMA20 area and would be interpreted as uncritical as long as the precious metal manages to stabilize and recover within the range of this line. However, if this line is abandoned again, the SMA50 (currently at 1,918.5 US dollars) or the SMA200 (currently at 1,898.6 US dollars) could offer further support in the event of setbacks. If gold were to settle below the SMA200 again, the chart picture would become cloudy.

• Classification of short-term chart image, forecast (4h): bullish

Conclusion: As long as gold can stay above the SMA200 at the end of the day, it could continue to move upwards towards the annual high. The daily chart would become cloudy again if the precious metal established itself below the SMA200.

• Probability of a bull scenario based on our setup: 55%
• Probability of bear scenario based on our setup: 45%

Assessment for the new gold trading week:

Long setup: Gold could initially try to stay above $1,979.5. If this succeeds, it could continue upwards to our next target levels at 1,981.1, at 1,982.7, at 1,984.5, at 1,986.0, at 1,988.7, at 1,990.5, at 1,993.1, at 1,995 .7, at 1,997.0, at 1,998.9, at 2,000.4, at 2,002.3 and then at $2,005.3. Above the $2,005.3 level, our next target targets would be at 2,007.1, at 2,009.6, at 2,011.1, at 2,013.7, at 2,015.8, at 2,017.8, at 2,019.9 2,022.0, 2,024.5 and 2,027.1 US dollars respectively.

Short setup: If gold cannot stay above the 1,979.5 US dollar mark, the precious metal could initially reach our next target levels at 1,976.9, at 1,974.4, at 1,972.2, at 1,969.7, at 1,967.5, at 1,965.7, at 1,962.2, at 1,960.5, at 1,959.8 and then at 1,957.7 US dollars. Below the $1,957.7 mark, our next target targets could be at 1,955.1, at 1,952.9, at 1,950.5, at 1,948.8, at 1,946.5, at 1,943.7, at 1,941.0, at 1,938 .6, at 1,936.4, at 1,934.7, at 1,932.2, at 1,930.7 and at 1,928.1 US dollars, respectively.

Overarching expected gold trend in week 43/2023:

Sources: xStation5 from XTB

THE GERMAN LEADING INDEX

The “big” trading period is coming from 8 a.m. to 10 p.m German time. Many other brokers offer a low spread only from 9 a.m. to 5:30 p.m. – XTB offers the consistently low spread in the BIG trading hours. Experience the XTB advantage.