FX.co ★ Analysis of Gold for October 20, 2023 - Resistance on the test and extreme bullish condiiton with the bearish divergence

Technical analysis:

Gold has been trading upside and I found that market is testing important resistance pivot at $1.982 and I see exhaustion of the buyers.

Due to the extreme bullish condition and bearish divergences on the RSI oscillator, there is potential for the pullback towards lower reference.

Downside objective is set at the price of $1.958

RSI oscillator is showing reading at 80 but bearish divergence relative to previous peaks, which is sign for potetnial downside correction.

Key resistance is set at the price of $1.982

In case of the further upside movement , upside objective is set at $2.000