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Gold Technical Analysis: Hourly MAs adopting bull bias, focus on dollar index

  • The bullish crossover between the 50-hour and 100-hour moving averages (MAs) adds credence to higher highs charted by gold from the Sep. 4 low of $1,189 and the upside break of the falling trendline.
  • So, the yellow metal could build on the bullish break above the psychological hurdle of $1,200 seen in the Asian session.
  • While intraday technicals are rolling over in favor of the bulls, the dollar index (DXY) may not be that supportive of the yellow metal. The escalating trade tensions could boost haven demand for the USD, pushing gold prices lower. At press time, the DXY is changing hands at 95.05.

Hourly chart

Current Price: $1,200

Daily High: $1,203

Daily Low: $1,1998

Trend: Cautiously bullish

Resistance

R1: $1,207 (previous day's high)

R2: $1,214 (Aug. 28 high)

R3: $1,217 (50-day moving average)

Support

S1: $1,198 (session low)

S2 : $1,189 (Sep. 4 low)

S3: $1,183 ( Aug. 24 low)

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