Gold Technical Analysis: Buyers lurk around 50-day SMA, channel-support area of $1307/08
|Gold daily chart
- Gold trades near $1311 ahead of European markets open on Thursday.
- The yellow metal recently bounced off the 50-day simple moving average (SMA) level around $1307.50, which in turn highlights the importance of $1317 and a descending trend-line stretched since February 20 at $1323.
- Given the prices manage to rally past-$1323, $1328 and $1333 may entertain buyers ahead of challenging them with nearly a year-old resistance-line at $1346.
- Meanwhile, a downside break of $1307.50 can recall $1300 on the chart but an upward sloping support-line stretched since November 2018 could confine further declines near $1296.
- In a case where the quote slips beneath $1296, 61.8% Fibonacci retracement of April to August 2018 downturn may offer intermediate halt around $1287 ahead of flashing 100-day SMA level of $1278 on bears’ radar.
Gold 4-Hour chart
- In addition to the 50-day SMA on the daily chart, support-line of a short-term ascending trend-line also highlights the $1307/08 area as a crucial support-zone.
- Herein, $1321, $1325 and $1331 are likely additional resistances to watch.
Gold hourly chart
- Lows of March 18 and 20 can provide extra support to the bullion near $1299.
- Wednesday’s high near $1320 seems the closest resistance.
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.