GOLD: The Powerful Gold Market is on the Rise

The gold market is currently experiencing a strong upward trend, having successfully navigated the two key price ranges we mentioned earlier: 4060-

1. The question on everyone's mind is: where is this momentum coming from?

The answer lies in the overwhelming presence of long positions at the numbers 4000 and 3979. The market dynamics are clear: individuals who hold long orders are constantly eliminating them, which can lead to a psychological effect where the price drops below these levels. In other words, there's a high probability that this number will be eliminated, and the price will surge again. The scenario is that 4034 will be reached, and we'll test the 4060 level, which will be a difficult feat to achieve, depending on the strength of the buyers. Given that we have the PCE (Personal Consumption Expenditures) data coming up tomorrow, many factors will come into play.

In the near future, we can expect to see the 3979 level, and with the current strength and selling pressure, liquidity will be sucked out of the market, forcing everyone to exit their positions. For a price surge to occur, we need a significant increase in buying power. Always remember: never trade without a stop loss.