Gold () price surged to a fresh record past $2,900 Monday as President Trump announced 25% tariffs on steel and aluminum imports and💫 investors bra♏ce for inflation data later this week.

The prospect of looming 澳洲幸运5开奖号码历史查询:trade wars continues to cloud the global growth outlook, prompting investors to flock to gold, a the 澳洲幸运5开奖号码历史查询:safe haven asset, as a way to h𒁃edge against increasing economic uncertainty. 

Gold’s next cue will likely come from this week’s 澳洲幸运5开奖号码历史查询:inflation data due on Wednesday. A weaker than expected reading would underpin the commodity’s rally by boosting 澳洲幸运5开奖号码历史查询:rate cut expectations, making non-yielding gol𒐪d more attractive than its interest-bearing a🦄lternatives.

Below, we break down the 澳洲幸运5开奖号码历史查询:technicals on gold’s 澳洲幸运5开奖号码历史查询:weekly chart and identify several important price leꩵvels to watch out for.

Symmetrical Triangl🍌e Signals Bullish Continua💟tion

Since breaking out above a 澳洲幸运5开奖号码历史查询:symmetrical triangle last month, gold’s price has continued to move sharply higher, indicating a 澳洲幸运5开奖号码历史查询:continuation of the commodity’s strong uptrend.

Moreover, the 澳洲幸运5开奖号码历史查询:relative strength index (RSI) confirms bullish price momentum with a reading above the 70 threshold, though the indicator also points to 澳洲幸运5开奖号码历史查询:overbought co🌸nditions,ꦜ which could lead to near-term profit taking.

Let’s apply 澳洲幸运5开奖号码历史查询:technical analysis to project a potential upside 澳洲幸运5开奖号码历史查询:price target and locate several important 澳洲幸运5开奖号码历史查询:support levels where the yellow metal 𝓰could attract buying interest during pullbacks.

Measured Move Price Target

Investors can project an upside target by using the measured move technique, also known by chart watchers as the 澳洲幸运5开奖号码历史查询:measuring principle.

When applying the analysis to gold’s chart, we calculate the distance of the trend that preceded the symmetrical triangle and add that amount from the start of the commodity’s current move higher. For example, we add $502 to $2,596, which forecasts a target of $3,098, an area about 6% above current trading levels where the price may undergo a 澳洲幸运5开奖号码历史查询:consolidation phase.

Such a continuation move would also complete a basic 澳洲幸运5开奖号码历史查询:Elliot Wave pattern with five distinct swings playing out.

Key Support Levels to Eye

During 澳洲幸运5开奖号码历史查询:retracements, investors should initially eye the $2,790 level, a location on the chart that may provide support near the October peak, which also mark⛦s the top♌ of the symmetrical triangle.

The bulls’ inability to defend this level could see the price decline to around $2,530. The commodity finds a 澳洲幸运5开奖号码历史查询:confluence of support in this area from a brief consolidation period in August last year, the low of the symmetrical triangle, and the nearby 澳洲幸运5开奖号码历史查询:50-period moving average.

Finally, a more significant drop opens the door to the gold price revisiting lower support at the $2,430 level. Investors could look for 澳洲幸运5开奖号码历史查询:buy-and-hold opportunities in this region near the top trendline of a 澳洲幸运5开奖号码历史查询:rectangle that formed on the chart𓄧 between April an💃d July last year.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our 澳洲幸运5开奖号码历史查询:warranty and liability disclaimer for more info.

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