Gold: Strongly rejected at $1727.37
|The trend on the hourly chart below is still firmly down. This current wave higher could be the next lower high and there could be some signs of a rejection point at the moment, FXStreet’s analyst Rajan Dhall reports.
Key quotes
“Looking at the 1-hour chart the trendline looks like it has been rejected again at $1727.37. Adding to this the price level also confluences at the 50% Fibonacci retracement level. Lastly, the wave low resistance from 19th May at $1725.96 per troy ounce is also at the same zone marked by the red rectangle.”
“The Relative Strength Index indicator is also in an oversold area. This also indicates there could be a move lower as the price looks to be overextended.”
“The MACD histogram is above the zero line but the signal lines might just be starting to have a bearish cross over. Overall on the higher timeframes, this is still an uptrend but maybe the short-term correction is not over.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.