Gold Consolidates in Channel, Breakout Direction Expected

With geopolitical tensions and other macroeconomic factors at play, the yellow metal, currently correcting from its 20% rally, seems to be consolidating near the lower boundary of a descending channel. Following Friday's data release, gold witnessed volatility in both upward and downward directions. If this consolidation breaks to the upside, the 2325-2330 range will act as the initial resistance. The momentum gained above this level could lead to a retest of the 2350-2360 range. Beyond this point lies the trend resistance level of 2380. In the event of a downward breakout, the first support level is at 2290, while 2280 serves as a key level indicating the potential depth of the retracement. Breaking below this point could potentially drive the price down to the 2255-2260 range.