Gold (XAUUSD) hit 🌜another record high Wednesday as the precious metal extends a multi-ཧmonth rally.

The commodity, which surged about 20% in the first quarter, remains well bid 澳洲幸运5官方开奖结果体彩网:amid a flight to safety in response to uncertainty surrounding the Trump admi💞nistration’s unpredictable tariff policy, which some analysts caution could reignite 澳洲幸运5官方开奖结果体彩网:inflation and slow economic growth.

Strategists at Bank of America recently released a research note pointing out that the yellow metal will continue to see increased demand this year from 澳洲幸运5官方开奖结果体彩网:central bank bu🧸ying, ongoing appetite from retail investors and a rule change that allows China’s insurance industry to invest in gold for the first time.

Below, we take a closer look at gold’s chart and use 澳洲幸运5官方开奖结果体彩网:technical analysis to identif🦋y crucial price levels that investors may be watching.

Shooting Star Pattern Emerges

An intraday turnaround on Tuesday formed a 澳洲幸运5官方开奖结果体彩网:shooting star, a 澳洲幸运5官方开奖结果体彩网:candlestick pattern that signals a potential bearish reversal.

It’s worth noting that a similar shooting star pattern emerged on gold’s chart in early February, preceding a month-long 澳洲幸运5官方开奖结果体彩网:consolidation phase before the precious metal resumed its uptrend.

Meanwhile, the 澳洲幸运5官方开奖结果体彩网:relative strength index (RSI) confirms bullish price momentum with a reading above the 70 threshold. However, the indicator sits in 澳洲幸运5官方开奖结果体彩网:overbought territory, raising the possibilꦏit🦋y for short-term profit-taking.

Let’s apply bars pattern analysis to project where gold’s price may be headed next and also identify three crucial 澳洲幸运5官方开奖结果体彩网:support levels worth watching during retracements.

Bars Pattern Analysis

Investors can use bars pattern analysis to predict where gold’s price may be headed next by analyzing prior trends on the chart.

When applying the technique, we take the bars comprising the 澳洲幸运5官方开奖结果体彩网:price action between the two shooting star patterns and overlay them from Tuesday’s closing price. The analysis forecasts anot♉her consolidation phase before the commodity resumes its uptrend later this month, potential🌸 moving to around $3,395 by late May.

Crucial Support Levels to Watch

Profit-taking in the commodity could see an initial move down to the $3,048 level, a location on the chart where the price may encounter support near last month’s pre-pullback peak.

Bullion bulls’ inability to defend this level could trigger a decline to around $2,953. This region, currently just above the upward sloping 澳洲幸运5官方开奖结果体彩网:50-day moving average, may attract buying interest near the precious metal's February 澳洲幸运5官方开奖结果体彩网:swing high.

Finally, a deeper downturn in the commodity’s price opens the door for a move to lower support at $2,858. Investors may look to 澳洲幸运5官方开奖结果体彩网:accumulate gold i💧n this location nღear the late-February retracement low.

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