The precious metal started the week with a small loss of 0.43% breaking the support at $1,796 in our 50% Fibonacci retracement. The price has been moving laterally for the last 14 sessions, with a few outliers in more recent days, the breakouts have not stuck; the price is expected to continue with this behavior for the short term.
It looks like the Bollinger bands are done shrinking while the upper band is slightly opening, which indicates lower volatility for the pair in the short term. The price trades closer to the upper band, suggesting that it is relatively high, we believe that the price will continue bouncing between the bands in a consolidation period.
The relative strength index is at 49% which is very neutral, this will allow the price to move in either direction in the short term, we would expect the price to move within a 1.8% range in the next few sessions, once the consolidation period ends we would be able to determine a trend.
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