Gold prices remain near $5,250, holding key support levels. This suggests a potential rally towards $5,345. Buyers have kept prices stable for two days.
Gold consolidated within a three-day range, forming a small pennant pattern. It sits near the 61.8% Fibonacci retracement support at $5,141. Prices reclaimed the 10-day and 20-day moving averages above $5,011 on Friday.
Buyers appear in control, with no significant pullback to test prior resistance. The three-day low of $5,091 barely touched Friday’s range. This shows short-term strength, suggesting an upside move could come before any deeper decline.
Gold shows potential to continue rising from its February low of $4,402. The $5,119 swing low was recaptured, setting the next target at $5,345. This rally follows a strong rebound after a 21.4% decline.
On a weekly basis, gold broke above a three-week high of $5,119. Strong demand is evident from recent record weekly closing highs. The rally remains valid unless support at $4,982 fails.