Gold could drop under 2600 again

Dec 2

For most of last week, gold exhibited choppy price action.

As outlined in my Thursday analysis: "Gold could recover Monday's losses in a choppy manner, forming a flag pattern with resistance around 2660."

This prediction held true in the end and, after a brief spike above the resistance level, gold began its decline. At the time of writing, the price is trading at 2624, just above short-term support.

Looking ahead, I anticipate this support level will break, paving the way for a drop toward 2590 and 2575- a level that aligns with the measured target of the flag pattern.

My strategy remains to sell rallies, using last Friday's high as a key resistance point for positioning.

Dec 2

Trade active

Gold has entered my sell zone above 2645

Dec 3

Trade closed: target reached

Closed at 2640 with marginal 100+ pips profit.
Switching to buy