Gold (GOLD) prices will likely remain in focus on Monday after setting record highs last week as several 澳洲幸运5官方开奖结果体彩网:catalysts continue driving the demand for the met꧋al as a hedge against currency deflati🅠on and geopolitical uncertainty.

The Federal Reserve’s 澳洲幸运5官方开奖结果体彩网:jumbo half-point rate cut earlier this month contributed to recent bullish momentum, and gold received an additional boost last week from China announcing significant stimulus measures and rate reductions in a bi🌳d to revive its sluggish economy. Meanwhile, escalating concerns of a broader conflict developing in the Middle East have also underpinned suppꦦort for the metal.

Below, we take a closer look at the 澳洲幸运5官方开奖结果体彩网:technicals on gold’s 澳洲幸运5官方开奖结果体彩网:weekly chart and point out importan♋t price levels to watch out for amid the commodity’s record bull run.

Rectangle Breakout Rally Continues

Gold has continued its impressive rally after breaking out from a 澳洲幸运5官方开奖结果体彩网:rectangle in July, a chart formation that indicates a 澳洲幸运5官方开奖结果体彩网:continuation of the commodity’s strong uptrend.

Although a 澳洲幸运5官方开奖结果体彩网:relative strength index (RSI) reading nearing 80 confirms bullish price momentum, it also ꦦincreases the possibility of short-term profit taking as bullion bulls lock in some profits. 

Let’s forecast several potential 澳洲幸运5官方开奖结果体彩网:price targets using the 澳洲幸运5官方开奖结果体彩网:measuring principle and a bars pattern, while also pointing out a key 澳洲幸运5官方开奖结果体彩网:retracement level to monitor.

Measuring Principle Price Target 

Investors can forecas𝔍t how high gold’s current mov🌠e higher may go using the measuring principle, also referred to as the measured move technique.

To do this, we measure the distance of the uptrend that preceded the rectangle and add that amount to the formation's top trendlܫine. For example, we add $448 to $2,414, which🅘 projects an upside price target of $2,862.

Bars Pattern Price Target

A bars pattern works on the premise of using prior price moves to predict an asset's future direction.

In this case꧒, we extract the commodity’s trending period from May 2019 to July 2020 and reposition it from the February 2024 low, which forecasts a longer-term price target of around ♉$3,195.

We selected this prior move as it followed a period of multiyear 澳洲幸运5官方开奖结果体彩网:consolidation, similar to gold’s current breakout from a multi-year trading range.

Key Retracement Level to Watch

During retracements, investors should keep their eyes peeled on the $2,414 level, an area on the chart likely to attract buying interest near the rectangle formation's top trendline.

Depending on the timing of future 澳洲幸运5官方开奖结果体彩网:pullbacks, this location may also closely align with the upward sloping 50-week 澳洲幸运5官方开奖结果体彩网:moving average.

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As of the date this article was written, the author does not own any of the above securities.