Usman Salis
Gold (XAU) strong rally through late August and early September pushed the metal above $3,580, its best levels in weeks. Buyers may be stepping back temporarily, but the broader structure remains bullish.
Market Structure and Key Levels
Gold holds its uptrend with prices well above key moving averages: 21-day MA at $3,415, 50-day at $3,376, and 100-day at $3,349. Famos trader notes, RSI at 75.89 signals overbought conditions, raising pullback risks.
Support sits at $3,550 and $3,415, while resistance lies at $3,600 with targets near $3,650. The rally stems from dollar weakness, falling yields, safe-haven demand, and the technical breakout above $3,500.
Price Scenarios
A break above $3,600 could target $3,650-$3,700. Sideways action between $3,550-$3,600 would cool overbought levels. A drop below $3,550 may trigger a correction toward $3,415 without damaging the uptrend.
Gold shows signs of consolidation after its strong run, but remains bullish above $3,550. A clean break of $3,600 would confirm the next rally phase into September.
Usman Salis
