Gold Technical Analysis: Bears await a sustained break below 1-month old trend-line support


Share:

   •  The precious metal remained under some heavy selling pressure for the third consecutive session on Friday and dropped to challenge one-month-old trend-line support.

   •  Sustained weakness below 200-period SMA on the 4-hourly chart - for the first time since Nov. 30, was seen as a key trigger for bearish traders and prompted some technical selling.

   •  Moreover, oscillators on the daily chart have just started gaining negative momentum and support prospects for an extension of the ongoing slide from 10-month tops set on Feb. 20.

   •  Meanwhile, indicators on hourly charts have started drifting into the oversold territory and turned out to be the only factor that helped limit deeper losses, at least for the time being.

   •  Traders, however, are likely to wait for a convincing break through the mentioned support before positioning for any further slide towards testing the key $1300 psychological mark.

Gold 4-hourly chart

XAU/USD

Overview:
    Today Last Price: 1308.86
    Today Daily change %: -0.32%
    Today Daily Open: 1313.1
Trends:
    Daily SMA20: 1319.67
    Daily SMA50: 1300.1
    Daily SMA100: 1264.15
    Daily SMA200: 1235.92
Levels:
    Previous Daily High: 1327.1
    Previous Daily Low: 1312.9
    Previous Weekly High: 1346.85
    Previous Weekly Low: 1320.72
    Previous Monthly High: 1346.85
    Previous Monthly Low: 1300.1
    Daily Fibonacci 38.2%: 1318.32
    Daily Fibonacci 61.8%: 1321.68
    Daily Pivot Point S1: 1308.3
    Daily Pivot Point S2: 1303.5
    Daily Pivot Point S3: 1294.1
    Daily Pivot Point R1: 1322.5
    Daily Pivot Point R2: 1331.9
    Daily Pivot Point R3: 1336.7

 

Share: Feed news

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.

Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content


Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content

Editors’ Picks

AUD/USD extends losses toward 0.6500 after softer Australian CPI data

AUD/USD extends losses toward 0.6500 after softer Australian CPI data

AUD/USD is extending losses toward 0.6500  in Asian trading on Wednesday. The Aussie pair is undermined by softer-than-expected Australian monthly CPI inflation data, which fans RBA rate cuts bets. Meanwhile, the US Dollar is building on its recovery amid cautious markets. 

AUD/USD News

EUR/USD grinds lower toward 1.0800 as USD extends recovery

EUR/USD grinds lower toward 1.0800 as USD extends recovery

EUR/USD is grinding lower toward 1.0800 in early European morning on Wednesday. The extended recovery in the US Dollar amid a deterioration in risk sentiment is weighing on the pair, as the focus shifts to a data-packed day ahead. 

EUR/USD News

Gold price extends the range play around 50-day SMA, modest USD strength caps the upside

Gold price extends the range play around 50-day SMA, modest USD strength caps the upside

Gold price continues with its struggle to gain any meaningful traction and remains confined in a familiar range around the 50-day Simple Moving Average (SMA) through the Asian session on Wednesday.

Gold News

Bitcoin price extends gains as capital inflows near all-time highs

Bitcoin price extends gains as capital inflows near all-time highs

Bitcoin (BTC) price remains northbound, a status that was invigorated by Monday reports on MicroStrategy and BlackRock. With growing optimism in the market, the risk appetite for investors is also proving elastic. 

Read more

Twiddling thumbs ahead of a US data barrage

Twiddling thumbs ahead of a US data barrage

Traders are keenly aware that the recent components of the Consumer Price Index (CPI) and Producer Price Index (PPI) have influenced the Personal Consumption Expenditures (PCE), and it is unlikely that they will receive an inflation print below the Federal Reserve's target rate.

Read more

Forex MAJORS

Cryptocurrencies

Signatures