Gold Price Analysis: XAU/USD struggles below $1,800 amid risk-off mood


  • Gold eases from intraday top but lacks bearish momentum.
  • Covid woes, reflation fears favor the US dollar’s corrective pullback.
  • S&P 500 Futures print mild losses despite Wall Street’s positive performance.
  • China PMI, risk news will be crucial to follow.

Gold steps back from intraday high while flashing $1,772 as a quote amid Friday’s Asian session. In doing so, the yellow metal rejects the initial consolidation of the biggest losses in 14 days marked on Thursday.

Mixed clues, dull markets confuse gold traders…

Although mildly negative S&P 500 Futures and sustained recovery of the US dollar index (DXY) seem to back the gold sellers, BioNTech’s hopes of finding a vaccine for Indian-origin covid strain seem to battle the moves.

Also portraying a mixed market scenario is the sustained strength of the US Treasury yields and reflation fears versus the expectations of further stimulus and upbeat US data.

It should be noted that a lack of major data/events in Asia adds to the sluggish markets while weighing on the bright metal’s prices of late.

However, China’s official PMIs for April and the return of Japanese traders after Thursday’s off could soon recall momentum traders. In a case where Beijing keeps printing upbeat figures, the bullion may witness a corrective pullback, failures to do so, which is widely anticipated, could keep the sellers in the driver’s seat.

Technical analysis

Although a downside break of the monthly support line, now resistance around $1,796, keeps gold sellers hopeful, a confluence of 21-day and 50-day EMA near $1,764 restricts the commodity’s short-term downside. It’s worth mentioning that a 200-day EMA level of around $1,792 adds to the upside filters.

Additional important levels

Overview
Today last price 1773.31
Today Daily Change 1.35
Today Daily Change % 0.08%
Today daily open 1771.96
 
Trends
Daily SMA20 1760.37
Daily SMA50 1745.4
Daily SMA100 1800.48
Daily SMA200 1855.94
 
Levels
Previous Daily High 1790.03
Previous Daily Low 1756.18
Previous Weekly High 1797.93
Previous Weekly Low 1763.7
Previous Monthly High 1759.98
Previous Monthly Low 1676.87
Daily Fibonacci 38.2% 1769.11
Daily Fibonacci 61.8% 1777.1
Daily Pivot Point S1 1755.42
Daily Pivot Point S2 1738.87
Daily Pivot Point S3 1721.57
Daily Pivot Point R1 1789.27
Daily Pivot Point R2 1806.57
Daily Pivot Point R3 1823.12

 

 

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