Gold Price Analysis: Consolidates around $1775 level, bullish bias remains


  • Gold remained confined in a narrow trading band on Friday, around the $1775 region.
  • The overnight resilience below an important confluence support favours bullish trader.
  • The commodity seems poised to aim towards conquering the ambitious $1800 target.

Gold extended its sideways consolidative price action through the mid-European session and remained confined in a narrow trading band, around the $1775 region.

Meanwhile, the recent move up over the past one month or so has been along an ascending trend-line. The overnight resilience below the mentioned trend-line, which coincides with 200-hour SMA, favours bullish traders and supports prospects for additional gains.

Meanwhile, technical indicators on hourly/daily charts maintained their bullish bias and are still far from being in the overbought territory. This, in turn, adds credence to the constructive set-up amid growing worries about surging coronavirus cases across the world.

Hence, some follow-through positive move beyond the $1789 region, multi-year tops set on Wednesday, remains a distinct possibility. Bulls are likely to aim for a move to test the ambitious $1800/ounce target en-route the next major hurdle near the $1811 region.

On the flip side, the mentioned confluence region, currently around the $1770 region, might continue to protect the immediate downside. Failure to defend the mentioned support will negate the bullish outlook and prompt some aggressive technical selling.

The commodity might then accelerate the slide further towards the overnight swing high, around the $1758-57 region before eventually dropping to its next major support near the $1745-44 horizontal zone.

Gold 1-hourly chart

fxsoriginal

Technical levels to watch

XAU/USD

Overview
Today last price 1776.54
Today Daily Change 1.80
Today Daily Change % 0.10
Today daily open 1774.74
 
Trends
Daily SMA20 1742.95
Daily SMA50 1727.55
Daily SMA100 1676.16
Daily SMA200 1591.9
 
Levels
Previous Daily High 1779.68
Previous Daily Low 1757.7
Previous Weekly High 1779.41
Previous Weekly Low 1742.97
Previous Monthly High 1785.91
Previous Monthly Low 1670.76
Daily Fibonacci 38.2% 1771.28
Daily Fibonacci 61.8% 1766.1
Daily Pivot Point S1 1761.73
Daily Pivot Point S2 1748.73
Daily Pivot Point S3 1739.75
Daily Pivot Point R1 1783.71
Daily Pivot Point R2 1792.69
Daily Pivot Point R3 1805.69

 

 

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

Are you new to trading or have been trading for a while and you feel stuck?

Try with us!
Become Premium!
   

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD rises above 1.2150 amid upbeat German data

EUR/USD has been rising above 1.2150 after the German ZEW Economic Sentiment gauge beat expectations with 84.4 points. Earlier, concerns about inflation boosted the dollar. 

EUR/USD News

GBP/USD trades off the highs amid risk-off mood, ahead of Bailey

GBP/USD is trading above 1.41 but off the fresh highs. The safe-haven dollar is gaining ground amid fears of inflation. UK PM Johnson's announcement of additional easing of restrictions boosted the pound on Monday. BOE Governor Andrew Bailey is set to speak later on.

GBP/USD News

200-DMA might cap XAU/USD ahead of US CPI on Wednesday

Gold refreshed multi-month tops on Monday, albeit lacked any strong follow-through buying. A modest USD rebound held bulls from placing fresh bets and kept a lid on any further gains.

Gold News

SHIB price skyrockets as Binance Lists Dogecoin rival Shiba Inu

“DOGE killer” Shiba Inu coin has reached a new all-time high as it rides on bullish momentum from recent crypto exchange listings. SHIB price has climbed by over 2,260% in the past week, as many investors missed out on the Dogecoin pump.

More Crypto News

Nasdaq (NDX QQQ) Technical view, key chart levels, Nasdaq tests trendline support

The Nasdaq is trading nicely from resistance to support. Friday's rally stalled at the convergence of the 9 and 21-day resistance. Monday sees the resistance work well and so the Nasdaq sells off and currently finds support at the lower trendline seen in the chart below.

Read more

Forex MAJORS

Cryptocurrencies

Signatures