XAU/USD Analysis: Bullish bias above 10SMA for renewed attempt at $1300

Slobodan Drvenica Windsor Brokers

GOLD

Spot gold regained traction and moved higher in early Friday’s trading, as the dollar slipped on rising expectations that the Fed would pause its rate hike cycle this year.
The yellow metal remains congested between $1298 and $1276 for the second week after larger uptrend ran out of steam on approach to psychological $1300 barrier.
Consolidation was so far held by rising 10SMA which helped to keep overall bullish structure intact.
Friday’s close above 10SMA would add to positive outlook for renewed attack at $1300 barrier, break of which would unmask targets at $1309/16 (14 June lower high / Fibo 76.4% of $1365/$1160 fall).
Conversely, initial negative signal could be expected on close below 10SMA which would signal deeper correction and expose rising 10SMA ($1270).

Res: 1295; 1298; 1300; 1309
Sup: 1286; 1276; 1273; 1270

Interested in Gold technicals? Check out the key levels

1. R3 1304.45
2. R2 1300.8
3. R1 1293.55
PP 1289.9
1. S1 1282.65
2. S2 1279
3. S3 1271.75

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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