Gold Price Analysis: $1800 is being used as the intraday support for XAU/USD
|- Gold is trading 0.53% lower on Thursday after its recent rally.
- The market could take the price back into the previous consolidation is the support cannot hold.
Gold 4-hour chart
Gold has retraced on Thursday during the US session after the recent impressive rally. At the moment the market is grappling with the USD 1800 per troy ounce psychological level. The risk sentiment is hanging on a knife-edge as equities drop off and the dollar reises (DXY +0.21%).
Looking closer at the chart and the USD 1800 per ounce level is at the red horizontal line. If the price does break the support there is the purple wedge chart pattern to that could be used as a support zone too. The strongest zone seems to be the middle of the previous distribution area and this would-be around USD 1779.00 per ounce.
The indicators have started to dip lower too. The Relative Strength Index has pulled away from the overbought zone. The MACD histogram has also turned red but the main thing is the signal lines. If they manage to breach the mid-point then it would be a good sign that the trend might reverse in the medium term.
Obviously, this is just a small blip or retracement in an otherwise strong uptrend. The main point is where will the buyers come back in?.
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Additional levels
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