Gold: Break above $1818 to confirm bearish exhaustion


Gold (XAU/USD) attempted a tepid recovery from near four-month troughs on Wednesday but faced rejection at higher levels and finished the day almost unchanged around $1807. The yellow metal treads water on Thanksgiving Day-quiet trading as Wednesday’s doji candle calls for indecision while $1800 holds, FXStreet’s Dhwani Mehta briefs.

See:

Key quotes

“A lack of relevant macro news and holiday-thinned light trading could keep the investors on the sidelines, although some exaggeration in the moves cannot be ruled.”

“Bears are likely to see any bounce in the spot as a good selling opportunity following a big breakthrough the critical $1850 support earlier this week.” 

“Gold remains within a familiar trading range, lacking a clear directional bias, as indicated by Wednesday’s doji candle. However, the risks remain skewed to the downside, with the $1800 level still in danger. The selling momentum could accelerate on a break below the 200-daily moving average (DMA) at $1798, opening floors towards May 18 high of $1765.”

“Wednesday’s high of $1818 needs to be taken out for the recovery to gain traction.”

 

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.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

AUD/USD rebounds towards 0.78 amid mixed Aussie data, vaccine progress

AUD/USD picks up bids from the intraday low and heads towards 0.78 amid mixed Australian trade and retail sales data. Australian PM Morrison said the AstraZeneca vaccine rollout will begin on Friday. The further upside appears elusive as the US dollar rises with yields.

AUD/USD News

Gold: Bears looking to test bull's commitments at $1,698

The gold price is no longer showing signs of an immediate advance back to test $1,760. Instead, gold failed to extend beyond $1,740 and printed a fresh low to $1,702 as the US dollar and yields came up for air.

Gold News

Bitcoin gears up for fresh record top, bulls await clear break of $52,650

Bitcoin buyers can ignore the recent choppy moves around $51,000, currently near $50,900, while looking at the cryptocurrency pair’s ability to stay beyond the key supports during early Thursday.  Ascending trend line from late-January adds to the upside barriers.

Read more

GBP/USD: Drops towards 1.3900 on the way to two-week-old support line

GBP/USD teases intraday low of 1.3921, currently down 0.14% around 1.3932, during Thursday’s Asian session. In doing so, the cable stretches the pullback from a one-week-old resistance line as MACD recedes bullish bias.

GBP/USD News

DXY continues to gain on Wednesday, eyes 91.60

US dollar firm and approaching Feb 4th highs from a significant technical support structure. US economy moderately gathering pace according to the Fed's Beige Book.

US Dollar Index News

Forex MAJORS

Cryptocurrencies

Signatures