XAU/USD Analysis: Likely to decline


During Tuesday's trading session, the XAU/USD exchange rate breached the descending triangle pattern south and reached the support level formed by a combination of the monthly S1 and the Fibo 38.20% at 1,274.13.  

If the given support level holds, it is likely that the price for the gold reverses north and tries to surpass the resistance cluster formed by the 55-, 100– and 200-hour SMAs in the 1,283.16/1,293.85 range. 

Otherwise, it is expected, that the rate continues to trade down. In this case, the price for gold could reach the psychological level at 1,270.00.




This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.