July 25, 2023
Spot gold may retest a support at $1,951 after a bounce around a resistance at $1,965 per ounce.
The resistance at $1,965 is identified as both the 23.6% retracement of the uptrend from $1,892.82 and the 38.2% projection level of a downtrend from $1,973.69.
This can be considered as bounce from $1,902.45 has reversed. The metal is expected to drop towards bottom around $1,945. In consideration that price may test the support at $1,951, and bounce is likely to end around $1,965.
A break above $1,965 could lead to a gain into $1,968-$1,973 range. On the daily chart, the current bounce looks like a pullback towards the former support at $1,964.
The drop from the July 20 high of $1,987.39 may resume upon the completion of the pullback around $1,964.
