Gold price struggled to gain bullish momentum and stayed below the $1,980 resistance against the US Dollar. The price broke the $1,960 support level to move into a short-term bearish zone.
The price even broke the $1,950 support and the 50 hourly simple moving average. A low is formed near $1,933 and the price is currently recovering above the $1,945 level on FXOpen.
It seems like there is a crucial contracting triangle forming with resistance near the $1,958 level on the hourly chart. A clear break above the triangle resistance could lead the price towards the $1,980 level in the near term.
Conversely, the price might break the triangle support and the 50 hourly SMA at $1,948 to start a fresh decline. In the stated case, the price is likely to decline towards the $1,940 and $1,935 support levels.
