Gold bullish momentum stopped by 1,844 [Video]

Olimpiu Tuns Learn 2 Trade

The price of gold is traded at 1,838 at the time of writing. In the short term, it has changed little after finding strong resistance around 1,844. Technically, after yesterday’s rally, we cannot exclude a temporary decline. XAU/USD could come back down to test and retest the immediate support level (resistance turned into support) before resuming its growth. Fundamentally, the US Unemployment Claims is expected at 227K in the last week. Worse than expected data could lift the yellow metal.

The 1,831 - 1.834 area represented a strong resistance zone. After its failure to reach and retest the ascending pitchfork’s median line (ml), XAU/USD could come back to test and retest the broken zone. A minor consolidation above this area could help the yellow metal to attract more bullish energy. From the technical point of view, the bias remains bullish as long as the price of gold is traded above the ascending pitchfork’s lower median line (LML). As you can see on the h4 chart, the median line (ml) is seen as a potential upside obstacle if the rate jumps higher.

Join Learn 2 Trade VIP Group now!

Author

Olimpiu Tuns

Learn 2 Trade

Olimpiu is a seasoned Market Analyst / Trader with 11 years of experience in the financial markets having expertise in Forex, Commodities, Index, Cryptocurrencies, and Stocks.

EUR/USD turns negative near 1.1850

EUR/USD has given up its earlier intraday gains on Thursday and is now struggling to hold above the 1.1850 area. The US Dollar is finding renewed support from a pick-up in risk aversion, while fresh market chatter suggesting Russia could be considering a return to the US Dollar system is also lending the Greenback an extra boost.

GBP/USD change course, nears 1.3600

GBP/USD gives away its daily gains and recedes toward the low-1.3600s on Thursday. Indeed, Cable now struggles to regain some upside traction on the back of the sudden bout of buying interest in the Greenback. In the meantime, investors continue to assess a string of underwhelming UK data releases released earlier in the day.