Kitco.com – Gold price technical analysis: upside levels in focus

Dec 17, 2021

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(Kitco News) – Gold has been steadily climbing since the FOMC rate decision this week and it is important to keep an eye on the technical levels. The price has broken back above the $1800/oz level but that has been a major sticking area in recent times with the price bobbing back above and below the level regularly. This cannot be categorized as a breakout just yet as there is traffic above the current price level

Looking closer at the 4-hour chart below we can see the price is now trading above the volume point of control (VPOC). This is an important level for gold as it represents the most accepted price level on the given period shown. Now it could be used as a support area going forward. In terms of other resistance zones, there is a minor level at $1815/oz where the price has bounced a few times recently (marked in green). and then the blue horizontal line at $1836/oz is next. Beyond that, the high on the chart marked in purple is a key target for the bulls.

If the price does move lower than the aforementioned VPOC the grey upward sloping trendline could come in handy for the bulls. The main thing, for now, is that the precious metal is pretty far off the consolidation low. So upside levels are in focus. Volume confirmation is key it would be a good sign if the resistance levels are broken with good market participation.