With the recent consolidation in gold, the bulls could prepare for the next wave of buying in shiny precious metals.March and April were extremely volatile on the world’s stock exchanges. Gold could not escape this ascent and descent. First, the price plummeted from USD 1,703.32 to a low of just under USD 1,450. However, the support area there provided the precious metal with sufficient support not only to start a countermovement. Rather, the bulls managed to establish a short-term uptrend that could hit a new high of just under $ 1,750 in mid-April.
Bulls ran out of steam
After this effort, the bulls ran out of steam in the past few trading days. Gold swung into a consolidation that is currently presented as a bullish triangle. On the underside, the support area starts at around $ 1,675 and extends to around $ 1,640. In addition to the lower triangular boundary, further horizontal supports and the EMA 50 can be found here. Together, these should actually offer enough hold to the precious metal.
At the moment there is some evidence in the chart picture of gold that the bulls have an advantage. As long as the support area mentioned above up to around USD 1,640 is not sustainably broken, there is a possibility of reaching a new high. Various goals are derived from the triangular formation. In this context, we should mention just under $ 1,825 and about $ 1,860.