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Gold: Focus on today's close after bullish outside-day

  • Gold shows early signs of bottoming out.
  • But only a close today above $1,257 would confirm a short-term bull reversal.

Currently, gold (XAU/UD) is trading at $1,257, having clocked a session high and low of $1,260 and $1,254, respectively.

The yellow metal created a bullish outside-day candle on Tuesday, signaling the sell-off from the April high of $1,365 may have run out of steam. However, only a daily close today would confirm a short-term bearish-to-bullish trend change and open doors to a stronger corrective rally,

Note, the US markets are closed on account of the Independence Day holiday. Hence, volumes will likely remain thin during the day ahead.

Gold Technical Levels

Resistance: $1,261 (June 21 low), $1,273 (100-week moving average), $1,282 (May 21 low).

Support: $1,254 (session low), $1,244 (June 28 low), $$1,238 (July 3 low).

  TREND INDEX OB/OS INDEX VOLATILY INDEX
15M Bearish Neutral Shrinking
1H Bullish Neutral Low
4H Bullish Neutral High
1D Bullish Neutral Shrinking
1W Strongly Bearish Oversold Expanding

 

 

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