Technical analysis: Spot gold may fall back to the $3306 to $3320 range
2025-07-03 13:14:51
During the Asian session on Thursday (July 3), spot gold fluctuated narrowly and is currently trading around $3,352 per ounce.
Reuters technical analysts pointed out that spot gold may retreat to the range of $3,306 to $3,320 per ounce as the five-wave cycle starting from $3,247 has been completed.
Retracement analysis of the cycle shows that the 50% and 38.2% levels constitute a target area. Given that the cycle has failed to break the critical resistance at $3,374, the downtrend that started at $3,452 may have resumed.
The resistance level is identified as the 61.8% retracement of the downtrend line from $3452. The current resistance level is at $3357, a break above which could push the price up to the $3366-$3374 range.
On the daily chart, the rally lost momentum near resistance at $3,361, as evidenced by the increasingly smaller candlesticks.
The rally is part of wave C that started at $3451 and is expected to move towards the bottom of wave A around $3123.
Although it is unclear whether the rally is over, a drop to $3,306 is likely.
At 13:13 Beijing time, spot gold is trading at $3352.20 per ounce.
Reuters technical analysts pointed out that spot gold may retreat to the range of $3,306 to $3,320 per ounce as the five-wave cycle starting from $3,247 has been completed.
Retracement analysis of the cycle shows that the 50% and 38.2% levels constitute a target area. Given that the cycle has failed to break the critical resistance at $3,374, the downtrend that started at $3,452 may have resumed.
The resistance level is identified as the 61.8% retracement of the downtrend line from $3452. The current resistance level is at $3357, a break above which could push the price up to the $3366-$3374 range.
On the daily chart, the rally lost momentum near resistance at $3,361, as evidenced by the increasingly smaller candlesticks.
The rally is part of wave C that started at $3451 and is expected to move towards the bottom of wave A around $3123.
Although it is unclear whether the rally is over, a drop to $3,306 is likely.
At 13:13 Beijing time, spot gold is trading at $3352.20 per ounce.
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