- Gold struggles to surpass 2,037 and 200-period SMA
- RSI and MACD move horizontally
- Short-term outlook looks neutral-to-bullish
Gold prices are flirting with the 2,037 resistance level and the 200-period simple moving average (SMA) in the 4-hour chart, creating an ascending triangle.
Technically, the RSI is moving horizontally above the 50 level, while the MACD is standing slightly above its trigger line in the positive territory, both confirming the recent weak momentum in price.
On the upside, the price could attempt to overcome the 2,037 high and retest the 2,048 barricade. Should traders continue to buy the commodity, bringing the medium-term uptrend back into play, resistance could then run towards the 2,058-2,062 zone.
A reversal to the downside, however, could find immediate support at the 20- and 50-period SMAs at 2,029 and 2,026 respectively, while slightly lower the near-term ascending line of the triangle at 2,023 could also come into view. If the latter fails to halt bearish movements, the next target could be the 2,020 support ahead of 2,009.
Turning to the medium-term trading picture, the outlook has become neutral-to-bullish over the past two weeks and only a decisive close above 2,037 could resume the long-term bullish trend. On the other hand, a significant decline below 2,002 could shift the outlook to bearish.
