Gold Analysis - Is This the Expected Pullback?
Why It Matters
A confirmed pullback would tighten gold’s price range, affecting hedgers, miners and investors who rely on price stability for budgeting and portfolio allocation.
Key Takeaways
- •Bearish RSI divergence on 4‑hour chart signals imminent gold decline
- •Two near‑term resistance zones identified between $4,603 and $4,641
- •Price forming higher highs while RSI makes lower highs
- •Expected pullback may stay below 50% retracement of impulse wave
- •Traders should watch for wave‑C impulse breaking resistance to confirm direction
Summary
The video analyzes gold’s short‑term market structure, focusing on a bearish divergence that has emerged on the four‑hour chart and identifying key resistance levels that could shape the next price move.
Technical data show the price making higher highs while the Relative Strength Index forms lower highs—a classic bearish divergence. Two immediate resistance zones are mapped between $4,603 and $4,641. The analyst also references an Elliott‑wave count, labeling the current move as wave 4 of an impulse, with the upcoming wave C expected to stay below the 50 % retracement level.
He notes, “Higher highs on the price chart, but lower highs on the RSI, usually signals a decline.” The wave‑C impulse is described as “shouldn’t break above the 50 % retracement,” reinforcing the pullback thesis.
If gold respects these zones and the wave‑C constraint, a modest pullback is likely, prompting traders to tighten stops or consider short positions. Conversely, a break above the resistance could invalidate the bearish outlook and spark a renewed rally.
Comments
Want to join the conversation?
Loading comments...