• The precious metal, over the past one month or so, has been oscillating between two converging trend-lines, forming a symmetrical triangle/pennant on the 4-hourly chart.
• The contracting wedge might be categorized as a continuation pattern, marking a consolidation phase before the resumption of the prior/well-established downtrend.
• Technical indicators on daily/hourly charts are yet to pick up positive momentum and add credence to the bearish formation, suggesting selling bias at higher levels.
• However, it would be prudent to wait for a convincing break below the pattern support, currently near the $1192 region, before positioning for a fresh leg of downfall.
Spot Rate: $1202.18
Daily Low: $1197.12
R1: $1203.97 (R1 daily pivot-point)
R2: $1211.06 (last Friday's swing high)
R3: $1214.32 (August month swing high)
S1: $1197.12 (current day swing low)
S2: $1193.87 (S1 daily pivot-point)
S3: $1187.75 (monthly low set on Sept. 11)
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 securities. 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 Forex 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.