Gold Technical Analysis: $1,490 holds the key to further upside

Gold buyers catch a breath near key resistance confluence, after a rise.
A confluence of the three-month-old falling trend line and the upper line of the five-week long ascending channel in focus.
21-DMA acts as immediate support.

Anil Panchal FXStreet

Gold prices stay mildly bid near right-day high while flashing $1,485.50 as the quote during early Tuesday. The bullion nears the short-term key resistance confluence after Monday’s heavy rise.

A multi-month-old descending trend line and an upper line of short-term rising channel offer the key resistance around $1,490, the same holds the key to metal’s run-up towards $1,500 and the November month top near 1,515.

Meanwhile, the likely pullback can take the rest of 21-Day Simple Moving Average (DMA), at $1,471 now, ahead of highlighting the channel’s support line of $1,459.

Although odds are high that the safe-haven will bounce off $1,459, an extended decline will drive bears towards the November month low near $1,446/45.

Gold daily chart

Trend: Pullback expected

Additional important levels

Overview
Today last price	1485.73
Today Daily Change	8.07
Today Daily Change %	0.55%
Today daily open	1477.66

Trends
Daily SMA20	1468.83
Daily SMA50	1477.4
Daily SMA100	1492.04
Daily SMA200	1413.99

Levels
Previous Daily High	1480.96
Previous Daily Low	1476
Previous Weekly High	1481.7
Previous Weekly Low	1470.7
Previous Monthly High	1515.38
Previous Monthly Low	1445.8
Daily Fibonacci 38.2%	1477.89
Daily Fibonacci 61.8%	1479.07
Daily Pivot Point S1	1475.45
Daily Pivot Point S2	1473.25
Daily Pivot Point S3	1470.49
Daily Pivot Point R1	1480.41
Daily Pivot Point R2	1483.17
Daily Pivot Point R3	1485.37

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

EUR/USD accelerates losses, focus is on 1.1800

EUR/USD’s selling pressure is gathering pace now, opening the door to a potential test of the key 1.1800 region sooner rather than later. The pair’s pullback comes on the back of marked gains in the US Dollar following US data releases and the publication of the FOMC Minutes later in the day.

GBP/USD turns negative near 1.3540

GBP/USD reverses its initial upside momentum and is now adding to previous declines, revisiting at the same time the 1.3540 region on Wednesday. Cable’s downtick comes on the back of decent gains in the Greenback and easing UK inflation figures, which seem to have reinforced the case for a BoE rate cut in March.

Gold battle to regain $5,000 continues

Gold is back on the front foot on Wednesday, shaking off part of the early week softness and challenging two-day highs just above the key $5,000 mark per troy ounce. The move comes ahead of the FOMC Minutes and is unfolding despite an intense rebound in the US Dollar.

Fed Minutes to shed light on January hold decision amid hawkish rate outlook

The Minutes of the Fed’s January 27-28 monetary policy meeting will be published today. Details of discussions on the decision to leave the policy rate unchanged will be scrutinized by investors.

Mixed UK inflation data no gamechanger for the Bank of England

Food inflation plunged in January, but service sector price pressure is proving stickier. We continue to expect Bank of England rate cuts in March and June. The latest UK inflation read is a mixed bag for the Bank of England, but we doubt it drastically changes the odds of a March rate cut.

Sui extends sideways action ahead of Grayscale’s GSUI ETF launch

Sui is extending its downtrend for the second consecutive day, trading at 0.95 at the time of writing on Wednesday. The Layer-1 token is down over 16% in February and approximately 34% from the start of the year, aligning with the overall bearish sentiment across the crypto market.