Gold Price Breaks Out of Descending Channel

19 ต.ค. 2023

The price of gold breaks out of the descending channel from earlier this year to clear the September high ($1953).

Gold Price Outlook

The price of gold clears the range-bound price action from earlier this week to register a fresh monthly high ($1975), with a break/close above the $1973 (78.6% Fibonacci retracement) to $1977 (50% Fibonacci extension) opening up the July high ($1988).

Will keep a close eye on the Relative Strength Index (RSI) as it comes up against overbought territory, with a move above 70 in the oscillator likely to be accompanied by a further advance in the price of gold like the price action from earlier this year.

Next area of interest comes in around $2018 (61.8% Fibonacci extension), but failure to test the July high ($1988) may keep the RSI below overbought territory, with a move below $1937 (38.2% Fibonacci extension) bringing the $1886 (23.6% Fibonacci extension) to $1896 (61.8% Fibonacci retracement) region on the radar.