#GoldTechnical Analysis#24K99 News: During the Asian session on Tuesday (November 5th), spot gold suddenly plunged in the short term, with the price just once falling to $2724.64 per ounce, hitting an intraday low. FXStreet analyst Christian Borjon Valencia pointed out, analyzing the technical trends of the gold price.

(Spot gold 5-minute chart Source: 24K99)

Previously, the gold price closed basically flat on Monday, as investors awaited the results of the US elections and closely monitored the Federal Reserve policy meeting later this week.

Spot gold rose 0.02% on Monday, to $2736.38 per ounce, having hit a historical high of $2790.15 per ounce last Thursday.

UBS analyst Giovanni Staunovo stated that the driving force for gold this week will be the US elections, and a Fed rate cut is unlikely to cause significant fluctuations, as the Fed may signal a rate cut in line with market expectations.

How to trade gold?

Valencia points out that the momentum is still bullish, just likeRelative Strength Index(RSI) depicted, however, buyers seem to lose some upward momentum as the RSI decreases in the bullish zone. With the closing price of gold below $2750 per ounce on Monday, it signals further weakness.

Valencia said, the first gold priceResistanceWill be the low point on October 23 at $2708 per ounce. Once this level is broken, the next target will be $2700 per ounce.

If gold continues to fall, the next support levels to watch are the high point on September 26 at $2685 per ounce, and the 50-day (SMA) at $2628 per ounce.Simple Moving Average

(Spot gold daily chart source: FXStreet)

On the upside, Valencia added that gold buyers need to reclaim the psychological barrier of $2750 per ounce in order to continue the bullish trend. Once this level is overcome, the next bullish target will be the historical high of $2790 per ounce.

At 10:57 Beijing time, spot gold was trading at $2727.74 per ounce.