- February 5, 2026
- Posted by: EWGFX
- Category: Technical analysis
Gold retraces after a second attempt at higher levels; expect wide-range fluctuations today with opportunities for both short and long positions!
Gold experienced wide-range fluctuations yesterday, closing with a doji candlestick on the daily chart. I previously mentioned the key trend point at 5100. After the slow and steady rise over the past two days, the market needs a pullback and adjustment. The upward movement will not be smooth; it will be accompanied by repeated fluctuations. In terms of short-term fundamentals, pay attention to the US-Iran negotiations on February 6th. If they fail, safe-haven demand will resurface, pushing gold higher again. The downward movement during yesterday’s US trading session, while strong, was quickly recovered, indicating a lack of strong momentum and a likelihood of continued wide-range fluctuations in the short term. On the 4-hour chart, the Bollinger Bands are narrowing, with price fluctuating around the middle band. Support levels are at 4790 and 4700-4685, while resistance levels are at 4960 and 5025. For intraday trading, consider both short and long positions. Only a decisive break above 5100 will signal a further acceleration of the upward trend.
Trading Recommendations:
Buy gold around 4790-4795, targets:
4825, 4875, 4925! During the Asian session, a pullback to 4830-4800 is a good opportunity to buy!
Consider a short position around 4960, and quickly take profits.