Gold Price Analysis: Stuck in a broadening channel on the 5-min chart

Gold lacks clear directional bias with prices stuck in an expanding sideways channel.
A breakout would open the doors for re-test of record highs.

Omkar Godbole FXStreet Contributor

Gold has carved out a broadening sideways channel on the 5-minute chart. At press time, the yellow metal is trading largely unchanged on the day near $1,957 per ounce.

A break below the lower end or support of the broadening channel, currently at $1,945, would validate the ascending channel breakdown witnessed during the overnight trade and shift risk in favor fo a drop to lows below $1,910 observed on Tuesday.

Alternatively, a move above the channel hurdle at $1,966 would imply a resumption of the rally from lows below $1,910 and open the doors to re-test of the record high of $1,981.20 reached during Tuesday's Asian trading hours.

5-minute chart

Trend: Bullish above $1,966

Technical levels

XAU/USD

Overview
Today last price	1959.06
Today Daily Change	0.56
Today Daily Change %	0.03
Today daily open	1958.5

Trends
Daily SMA20	1828.24
Daily SMA50	1771.32
Daily SMA100	1713.87
Daily SMA200	1622.59

Levels
Previous Daily High	1981.34
Previous Daily Low	1907.04
Previous Weekly High	1906.68
Previous Weekly Low	1805.86
Previous Monthly High	1785.91
Previous Monthly Low	1670.76
Daily Fibonacci 38.2%	1952.96
Daily Fibonacci 61.8%	1935.42
Daily Pivot Point S1	1916.58
Daily Pivot Point S2	1874.66
Daily Pivot Point S3	1842.28
Daily Pivot Point R1	1990.88
Daily Pivot Point R2	2023.26
Daily Pivot Point R3	2065.18

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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