Gold – extension of recovery from $3300 support brightens near-term picture

Gold extends recovery from strong support at $3300 zone, where recent drop was contained, with formation of bear-trap pattern on daily chart, adding to bullish near-term outlook.

Weaker dollar and fresh concerns over renewed clash between President Trump and Fed Chief Powell over the monetary policy and signals that Trump is looking for Powell’s replacement, contributed to renewed safe-haven demand.

Fresh gains on Thursday cracked important barrier at $3345 (100HMA / 50% retracement of $3393/$3295 bear-leg / hourly cloud top) that unmasks targets at $3356 (Fibo 61.8% / 20DMA) and $3370 (Fibo 76.4% / 10DMA), guarding upper breakpoint at $3400.

Partial profit-taking is likely to interrupt bulls, with dips should find ground at $3338/35 zone (10HMA / trendline support) to mark healthy correction and positioning for fresh push higher.

Res: 3350; 3356; 3370; 3400
Sup: 3342; 3338; 3335; 3330