Gold price development and chart analysis: These are the crucial price points for gold in euros and US dollars

Gold price development and chart analysis: These are the crucial price points for gold in euros and US dollars

According to a report by www.goldreporter.de, the gold price entered a consolidation after reaching its October high. The price per ounce of gold was 1,973 US dollars in US futures trading, which corresponded to 1,855 euros. After a winning streak of weeks, the precious metal is now recording a weekly price decline for the first time. The technical chart situation is viewed in the Euro Gold chart as of November 7, 2023.

The development of the gold price in recent months shows price consolidation after a steep rise in November. The current price is still well above the breakout level from mid-October, and important supports lie at 1,850 euros and 1,830 euros. Despite the October rally, a short-term return to 1,800 euros would not mean a trend reversal.

Sentiment shows that gold is now technically neither overbought nor oversold, as the Relative Strength Index (RSI) has returned to 53 from 65 the previous week.

In dollar terms, gold prices have now returned to support in the $1,970 area. The 200-day line and the original 6-month downtrend intersect the chart image around $1,945. To the north, $2,000 remains the crucial price threshold for a bullish reorientation.

As a financial expert, it is important to analyze the technical chart situation and take the market technical factors into account. The decline in gold prices in recent weeks and the current support and resistance levels indicate a possible period of consolidation. The neutrality of the RSI shows that market sentiment is moving back into a balanced area. This could mean that prices remain stable for now without following a clear direction.

It remains crucial for investors and traders to keep an eye on the price movement and pay attention to important price thresholds such as $1,945 and $2,000 as these are crucial for a possible bullish or bearish development. The coming weeks will reveal whether the price of gold will take a new direction or remain in a consolidation phase.