Gold faces resistance at $3,450, bulls need to defend $3,420

• Gold met with strong resistance at $3450.
• Bulls need to reclaim $3420 to continue uptrend.
• Break below $3382 will see next support at $3372-$3362.
• Strong break below $3372-$3362 will extend drop to $3320.

Gold extended bullish rally to reach $3451 during early Asian session trading and soon retail traders preferred booking profits while sporadic news about possible truce in middle east caused a healthy retracement towards key support zone reaching $3382 which sits close to 4 hourly 50 EMA $3372.

Markets are also counting on the uncertainty about Fed's rate decision in the view of inflation numbers.
Price continues to remain bullish as long as bullls defend $3372 while challenge sits at immediate resistance $3400-$3410 supply cluster followed by essential break above $3420 to continue moving higher and $3450 remains key conflict area between Bulls and Bears.

If sellers take control, break below $3382 will prompt drop to 4 hourly 50 EMA $3372 below which more decline may be witnessed towards $3362-$3342 followed by $3320