Trading Signals for GOLD (XAU/USD) for October 1-3, 2025: sell below $3,881 (21 SMA - +2/8 Murray)

[Redator]

Gold is trading around 3,865 with a positive bias and could continue its rise in the coming days, reaching +2/8 of the Murray level at 3,906. The bullish trend channel formed since September 18 is favoring a further upward movement.

On the H4 chart, we can see that gold, after reaching a high around 3,870 in the last 24 hours, made a strong technical correction until reaching the support of this channel around 3,795.

Gold, after reaching a low at the bottom of the bullish trend channel and around the 21SMA, found a strong technical rebound and is now trading at yesterday's high and could continue its rise in the coming hours, reaching 3,881 and 3,906.

Technically, gold is overbought, so a strong technical correction is expected in the coming days, and gold could reach the Murray 8/8 around 3,750.

Our trading plan is to open short positions in gold if there is a sharp breakout of the bullish trend channel and a consolidation below the 21SMA around 3,807. If this scenario occurs, we could sell with targets at 3,750, 3,711, and around 3,671. The instrument could even reach the 200EMA around 3,615.

The material has been provided by InstaForex Company - www.instaforex.com