Gold Technical Analysis: Bouncing off 200-hour MA
|Gold is currently trading at $1,325, having tested the 200-hour moving average (Ma) support of $1,320 in the overnight trade.
Hourly chart
As seen above, the 14-hour relative strength index has pierced the descending trendline. So, the metal may revisit $1,330, although further gains look unlikely, as early signs of bearish reversal have emerged on a longer duration chart.
Daily chart
Gold fell 1.1 percent yesterday - the biggest single-day drop since Nov. 9 - confirming a bearish divergence of the 14-day RSI. The short-term bearish reversal, however, would fail if the metal closes today above the ascending 5-day MA, currently at $1,330.
Trend: bearish
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.