Gold Price Action Analysis - March 20, 2025

Gold Price Action Analysis - March 20, 2025
Current Market Status

- Gold is currently trading at 3,050.055,
- Successfully conquered the R2 resistance level (3,046.317)
- Showing strong momentum with minimal retracement or consolidation
- Psychological level of 3,000 has been comfortably established as support

Technical Observations
- The price is following almost exactly the projected path that I shared on Monday (blue arrow)
- Minimal upper wicks on recent candles indicate buyers are maintaining control
- Volume appears to be supporting the move higher
- No divergence signals on the daily timeframe indicating weakness
Updated Projections
Primary Scenario (Continued Bullish Momentum)
- Having broken through R2 (3,046.317), gold is now likely to target R3 at 3,100
- The absence of significant profit-taking suggests potential for further upside
- Watch for a potential acceleration if momentum continues to build
Secondary Scenario (Short-term Consolidation)
- After such a strong move, an intraday pullback or consolidation may occur
- Potential consolidation range: 3,030-3,060
- This would be a healthy pause before the next leg up
- The overall bullish structure remains intact as long as price stays above 3,000

Key Levels to Monitor
- Immediate resistance: 3050-55 and 3100, then 3,136.323 (R3)
- Current support: 3,046.317 (previous R2, now potential support)
- Secondary support: 3,000 (psychological level)
- Critical support: 2,952.228 (R1)

Trade Considerations
- Overall outlook is still bullish while being cautious of potential short-term overbought conditions
- Consider partial profit-taking at 3100 0r R3 (3,136.323) if reached
- Potential dips toward 3,030-3,040 range could offer strategic entry points for traders looking to add to positions for Intra day on confirmations

Gold continues to demonstrate exceptional strength with no technical signs of weakness on higher timeframes. While an intraday pullback is possible, the primary trend remains firmly bullish.