Early in the European session, gold is trading around 3,317, rebounding after reaching the low of 3,281. It is currently approaching resistance levels.

The 3,330-3,360 range has proven strong for gold in the past, so we believe that below 3,330, gold should undergo a technical correction and reach the supports of 3,281 and 3,242.

If the technical rebound continues and gold breaks and consolidates above the downtrend channel, we could expect the price to settle above 3,330. This will then be seen as a buying opportunity with targets at the 6/8 Murray at 3,359. The metal could eventually reach the 8/8 Murray at 3,437.

The Fed minutes were negative for the US dollar, which favored the euro and gold, leading to a recovery in these instruments.

If the bullish momentum prevails, we should buy gold above the 200 EMA located at 3,324. The outlook could be positive, reaching 3,450 in the short term.

Conversely, if gold resumes its bearish cycle, we should sell below 3,320, targeting the psychological level of 3,200. The Eagle indicator is showing a negative signal, so our strategy is to plan short positions as long as the metal trades below 3,330.