Gold has rallied past Fibonacci levels, with the nearest support at the 0.618 retracement level ($2,600.955) and 0.5 retracement level ($2,590.685). This level not only reflects strong support but also signals the possibility of a continuation of the uptrend if positive developments in monetary policy continue to support.
The market’s positive reaction to economic reports and the latest statements from Fed officials on the possibility of a rate cut continue to be the main drivers pushing gold higher. This raises expectations that gold could soon break above the current resistance and head towards higher levels.
For investors and traders, a reasonable stop loss could be placed at $2,550,000 to protect against unexpected volatility, while a take profit target should be considered near $2,650,000 as a profit point in case the rally continues.
