Societe Generale analysts observe that Gold has formed an interim low near $4,065 and is consolidating in a narrow range. They flag resistance at $4,200/4,225 and warn that failure to break higher could trigger a deeper correction toward the June low at $3,960/3,940 and projections near $3,830, with $4,065 acting as initial support.
Consolidation with downside potential
"Gold carved out an interim low near $4,065 earlier this month and has since evolved within a narrow consolidation."
"The upper boundary of this range at $4,200/4,225 represents a short-term resistance zone."
"Failure to overcome this hurdle could denote the risk of a deeper pullback."
"The lower boundary of the consolidation near $4,065 serves as the first support."
"A break below this may extend the decline towards the June low at $3,960/3,940 and projections near $3,830."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)
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