Gold Technical Outlook ?Price Compression Continues Within Triangle Pattern

The symmetrical triangle on the gold chart continues to tighten, and price action is approaching a decision point for a potential breakout or extended consolidation.
On Tuesday, gold extended its upward movement within a developing consolidation pattern, forming both higher highs and higher lows. The price slightly broke above Monday’s high, reaching a new 8-day peak at $3,390. The daily low at $3,350 successfully retested the confluence area of the 20-day and 50-day moving averages, confirming strong support within the $3,344?3,347 zone.
As long as gold remains within the triangle, further range-bound movement is expected. The narrowing of this range has reduced overall volatility, which often signals that a sharp move could be imminent.
The immediate upside target is the upper boundary of the triangle. A bullish breakout would first be signaled by a move above $3,439. A confirmed breakout requires a clean move through the key resistance at $3,451, which also represents the previous monthly high ?thus marking a potential breakout on the monthly timeframe.
If the breakout sustains, the next target zone lies between $3,578 and $3,603. However, this scenario depends on strong momentum following the breakout. Without it, the risk of a pullback remains.