Early in the American session, gold is trading around 3,278 after a sharp drop due to US data and showing signs of weakening bearish momentum. Gold has good support around the 6/8 Murray level, this level is key.

Gold is eventually breaking the 6/8 Murray level. If it continues its bearish cycle, it could find another support around 3,259 (200 EMA). In this area, we could also expect a technical rebound.

The confirmation for buying gold in the coming hours is to wait for the price to consolidate above 3,281. We can then buy with targets at 3,298, 3,310, and finally around the 7/8 Murray level at 3,359.

On the other hand, a break and consolidation above 3,305 and above the downtrend channel could confirm a strong bullish move for gold, potentially reaching the 8/8 Murray at 3,437.

Gold left a gap around 3,324 in early May and is likely to be filled in the coming days. For this, we should expect the price to consolidate above the psychological level of 3,300.