Gold Technical Analysis: bounces off descending trend-channel support

   •  Near-term oversold conditions prompt some short-covering move amid a modest USD retracement and from a short-term descending trend-channel support on the 1-hourly chart.

   •  Technical indicators on the said chart hold in negative territory and hence, a move towards 50-hour SMA immediate hurdle might still be looked upon as a selling opportunity.

   •  Any subsequent up-move is likely to remain capped at an important confluence region, comprising of the trend-channel resistance and 100-hour SMA.

Gold 1-hourly chart

Spot Rate: $1252.62
Daily Low: $1248.39
Daily High: $1254.13 
Trend: Bearish with possibilities of a corrective bounce 

R1:  $1256 (50-period SMA H1)
R2:  $1261 (top-end of the descending trend-channel)
R3:  $1278 (overnight swing high)

S1:  $1248 (current day swing low)
S2:  $1244 (50% Fib. level of the $1123-$1366 rally)
S3:  $1242 (Dec. 2017 daily closing low)

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.