- Gold fails to extend pullback from $1,759 beyond $1,773.
- 50-bar SMA, support line of a monthly ascending channel offer strong support.
- An upward sloping resistance line from June 02 becomes the key during fresh recoveries.
Gold prices stay soft around $1,772 during the early Thursday morning in Asia. The bullion refreshed the multi-year high the previous day. Though, a one-month-old rising trend line tamed the bulls. The precious metal currently takes round to the support line of a short-term bullish channel, also nearing the 50-bar SMA amid bearish MACD signals.
Considering the commodity’s repeated failure to cross near-term key resistance, coupled with the MACD conditions, odds are increasing of a fresh downside following a heavy rise in the recent days. However, sellers are waiting for a clear break below $1,765 level comprising the said channel’s lower line and immediate SMA.
In doing so, June 11 top surrounding $1,745 will become the bears’ short-term target ahead of putting $1,700 on the radars. If downside momentum exceeds well past-$1,700, the previous month’s low near $1,670 could return to the charts.
On the upside, $1,780 might offer nearby resistance during the quote’s U-turn ahead of the ascending resistance line from June 02, at $1,791 now.
Given the bulls’ refrain from respecting the adjacent resistance line, another upside hurdle, in the form of the mentioned channel’s upper-line, currently around $1,803, might be in focus.
Gold four-hour chart
Trend: Pullback expected
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD failed just ahead of the 200-day SMA
Finally, AUD/USD managed to break above the 0.6500 barrier on Wednesday, extending the weekly recovery, although its advance faltered just ahead of the 0.6530 region, where the key 200-day SMA sits.
EUR/USD met some decent resistance above 1.0700
EUR/USD remained unable to gather extra upside traction and surpass the 1.0700 hurdle in a convincing fashion on Wednesday, instead giving away part of the weekly gains against the backdrop of a decent bounce in the Dollar.
Gold keeps consolidating ahead of US first-tier figures
Gold finds it difficult to stage a rebound midweek following Monday's sharp decline but manages to hold above $2,300. The benchmark 10-year US Treasury bond yield stays in the green above 4.6% after US data, not allowing the pair to turn north.
Ethereum suffers slight pullback, Hong Kong spot ETH ETFs to begin trading on April 30
Ethereum suffered a brief decline on Wednesday afternoon despite increased accumulation from whales. This follows Ethereum restaking protocol Renzo restaked ETH crashing from its 1:1 peg with ETH and increased activities surrounding spot Ethereum ETFs.
Dow Jones Industrial Average hesitates on Wednesday as markets wait for key US data
The DJIA stumbled on Wednesday, falling from recent highs near 38,550.00 as investors ease off of Tuesday’s risk appetite. The index recovered as US data continues to vex financial markets that remain overwhelmingly focused on rate cuts from the US Fed.