Yesterday's strengthening of the dollar led to a further sell-off in the gold market, while today we can observe a rebound. The price of gold has managed to return above the round level of $ 1700, but the main trend remains downward. Looking at the H4 interval, price is currently testing 23.6% Fibonacci retracement. Should a break higher occur, the correction may extend towards the 38.2%, or even 50% retracement, where the upper limit of the wide 1: 1 structure is also located. On the other hand, break below the aforementioned $1700 level will invalidate the corrective scenario and declines could deepen.
GOLD interval H4. Source: xStation5
