Technical analysis by Harry_Megat about Symbol PAXG: Buy recommendation (7/23/2025)

Gold Spot (XAU/USD) Chart analysis **Chart Overview** * **Current Price:** \~\$3,423.68 * **Recent Trend:** Bullish (Strong upward movement before recent consolidation) * **Timeframe:** 1-hour chart * **Indicators Used:** * EMA 7 (Blue) * EMA 21 (Purple) * Bollinger Bands (Red/Green lines) * Volume bars at bottom **Bullish Momentum Signals** 1. **Strong Uptrend**: * Price surged rapidly above \$3,400, breaking multiple resistance levels. * Higher highs and higher lows confirm bullish structure. 2. **EMA Crossover**: * The shorter-term EMA (7) is above the longer-term EMA (21), signaling a bullish bias. * Price is currently near the EMAs, suggesting a possible retest of dynamic support. 3. **Bollinger Bands**: * The price touched the **upper band**, indicating strong momentum. * Bands are widening — a sign of increased volatility and continuation potential. **Support and Resistance Zones** * **Resistance Zone**: \~\$3,430–\$3,435 * Price was rejected here multiple times, indicating strong selling pressure. * A breakout above this could send price toward the next level at \~\$3,450. * **Support Zone**: * Minor: \~\$3,417–\$3,418 (aligned with EMAs and lower Bollinger Band) * Major: \~\$3,400 zone (previous breakout area and volume support) **Bullish Setup** * The **green arrow** suggests a bullish breakout is anticipated above \$3,430. * If price holds above \$3,417 (EMA + BB support), the bulls could push it to **\$3,445–\$3,450** short-term. **Risk** * A break below \$3,417 and especially below \$3,400 could invalidate the bullish scenario and invite a correction. * Watch for volume confirmation on any breakout to confirm strength. **Conclusion** Gold is in a **consolidation phase** after a strong rally. If support around \$3,417–\$3,418 holds, a breakout above \$3,430 could trigger a move to **\$3,445–\$3,450**. However, a break below EMAs would shift momentum back to neutral or bearish.