Gold: Longer-term target at top of 49-year channel at 1981.56 – Commerzbank

Gold is trading near seven-year highs, currently at $1770, and Commerzbank’s Karen Jones is looking for the yellow metal to reach the top of the 49-year channel at 1981.56.

Key quotes

“Gold uptrend at 1735 has resumed its up move and has eroded its May high at 1765.61. This guards the 1791.16/1803.29 highs from February and October 2012 and November 2011. This area is considered to be the last defence for the 1921.50 September 2011 high. Please note there is room for an overshoot to the top of a 49-year channel at 1981 and this is our long-term target.”

“Immediate support is the three-month uptrend at 1735, but while above 1661.84 (the mid-April low), an immediate upside pressure should be maintained. Only failure here would allow for a slightly deeper retracement to 1645 and potentially 1608 (50% retracement).” 

“A longer-term positive bias will be preserved while gold trades above the 1451.45/1445.53 November and March lows.”


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

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD bounces after upbeat COVID-19 cure news

EUR/USD is trading above 1.13, rebounding from the lows. Gilead reported that its drug Remdesevir substantially reduces mortality among COVID-19 patients. The news boosted stocks and weighed on the dollar. US coronavirus statistics are due out.


GBP/USD recaptures 1.26 as the market mood improves

GBP/USD is trading above 1.26 as the market mood improves and the safe-haven dollar retreats. Investors are shrugging off Brexit concerns and focusing on hopes to cure coronavirus. US COVID-19 statistics are due out.


XAU/USD consolidates daily gains above $1,800

After advancing to its highest level since September of 2011 at $1,818 on Wednesday, the XAU/USD pair staged a correction and briefly dropped below $1,800 on Thursday.

Gold News

Cryptocurrencies: War for dominance hit the bedrock of the market

Bitcoin tried to regain market share and activated sales in the Altcoin segment. BTC/USD, ETH/USD and XRP/USD are looking for supports and a rebound to push them to new elative highs. The current compression on the XRP/USD chart could trigger an exploding movement.

Read more

WTI once again breaks $40 per barrel after trading lower in early EU trade

There has been quite the bounce in WTI since the EU session after some strong selling pressure during Thursday and overnight. Once again on Friday's session, the price has taken the USD 40 per barrel handle. 

Oil News