Early in the American session, Gold (XAU/USD) is trading around 2,391.92 within the downtrend channel formed since July 16, and below the psychological level of 2,400.

Gold is under downward pressure but showing signs of exhaustion. A fall towards the bottom of the downtrend channel around 2,385 - 2,380 (Weekly Pivot) is likely to occur in the next few hours, so the price could even reach 4/8 Murray, a key support level.

Given that gold is consolidating above 4/8 Murray located at 2,375, the outlook still remains positive.Therefore, gold is expected to resume its bullish cycle in the coming days. For this, we will look for opportunities to buy above 2,380 or 2,375.

Below 4/8 Murray, the outlook could be negative. Thus, a bearish acceleration could occur and the price could reach 3/8 Murray and even 2/8 Murray located at 2,312 in the short term.

The eagle indicator on H1 charts is showing oversold signals. Hence, we believe that gold could reach the 200 EMA located at 2,416 in the coming days and could even reach the top of the downtrend channel around 2,433.