Early in the American session, gold (XAU/USD) is trading around 2,631 bouncing off of the 61.8% Fibonacci retracement zone.

The price of the metal is now above the 3/8 Murray but below the 200 EMA and 21 SMA which means that this technical bounce could be seen as a signal to resume selling if gold reaches the 4/8 Murray (2,656).

In the next few hours, we could look for opportunities to buy above 2,620 with targets at 2,635 and 2,656.

Gold has strong resistance at about 2,656 (4/8 Murray) since the 200 EMA converges in this area, so we could look for opportunities to sell below this area with the target at 2/8 Murray located at 2,578.

Last week, gold left a gap at about 2,562. It is still open so far which means that gold could fall to the 2,560 area in the medium term and could even reach 1/8 of Murray around 2,531.

Once settles above 2,660, a consolidation could mean a bullish advance of the gold price and it could again rebound to 2,695 and even 2,721.