Gold Price Analysis: Consolidates in a range below weekly tops, around $1640 region

• Gold witnessed a modest intraday pullback from weekly tops.
• The downside remains cushioned near 200-hourSMA/23.6% Fibo.
• The set-up support prospects for the emergence of dip-buying.

Gold seesawed between tepid gains/minor losses and remained confined in a narrow trading band – just below weekly tops – through the early North-American session.

The precious metal continued facing some resistance near the $1652 horizontal zone, which should now act as a key pivotal point for the next leg of a directional move.

Meanwhile, the intraday pullback found some support near a confluence region comprising of 200-hour SMA and 23.6% Fibonacci of the $1563-$1653 latest positive move.

Weakness below the mentioned support could accelerate the slide towards another confluence support – comprising of 100/50-hour SMAs and a short-term ascending trend-line.

Meanwhile, technical indicators on hourly/daily charts have been easing from higher levels but held in the bullish territory, supporting prospects for the emergence of some dip-buying.

Hence, any meaningful pullback might still be seen as a buying opportunity and should help limit the downside amid concerns over the impact of the coronavirus outbreak on the global economy.

Gold 1-hourly chart

Technical levels to watch