Gold Technical Analysis: 3-week old tight trading can lead to explosive breakout

• Gold main bear trend has switched to a sideways consolidation.
• Since early September, Gold is trading in a narrow $20 range between 1,190.00 and $1,210.00 a troy ounce while the 50, 100 and 200-period simple moving averages are coiled together.
• The market has lost its directional bias and a strong breakout in either direction is likely going to set the tone and the trend for the coming weeks.

Gold 4-hour chart

Spot rate:                   1,198.00
Relative change:        -0.03%
High:                          1,204.20
Low:                           1,194.10

Main trend:                         Bearish 
Short-term trend:                Neutral

Resistance 1:            1,204.10, August 3 swing low (key level)
Resistance 2:            1,211.17 July 19 low 
Resistance 3:            1,214.30 August 28 high
Resistance 4:            1,217.89-1,220.90 zone, August 6 high and July 18 low
Resistance 5:            1,225.90 July 17 low
Resistance 6:            1,237.60 July 3 swing low

Support 1:            1,194.30 March 10, 2017 low
Support 2:            1,189.49 September 4 low
Support 3:            1,172.82 current 2018 low
Support 4:            1,145.20 March, 1 2017 low