Gold Technical Analysis: Bulls take breather near a short-term ascending trend-channel resistance

Haresh Menghani FXStreet

• The precious metal reversed an early Asian session dip and climbed to fresh six-month tops, around $1287 region, in the last hour.

• The post-Christmas up-move has been along a short-term ascending trend-channel, which was now seemed to act as an immediate hurdle.

• Slightly overbought technical indicators on the daily chart turned out to be one of the key factors that prompted some profit-taking.

• However, oscillators on hourly charts maintained their bullish bias and hence, the pull-back might still be categorized as a buying opportunity.

Gold 30-mins. chart

XAU/USD

Overview:
    Today Last Price: 1285.4
    Today Daily change: 2.8e+2 pips
    Today Daily change %: 0.221%
    Today Daily Open: 1282.57
Trends:
    Previous Daily SMA20: 1255.92
    Previous Daily SMA50: 1234.97
    Previous Daily SMA100: 1221.32
    Previous Daily SMA200: 1229.3
Levels:
    Previous Daily High: 1282.85
    Previous Daily Low: 1279.4
    Previous Weekly High: 1284.7
    Previous Weekly Low: 1258.1
    Previous Monthly High: 1284.7
    Previous Monthly Low: 1221.39
    Previous Daily Fibonacci 38.2%: 1281.53
    Previous Daily Fibonacci 61.8%: 1280.72
    Previous Daily Pivot Point S1: 1280.36
    Previous Daily Pivot Point S2: 1278.16
    Previous Daily Pivot Point S3: 1276.91
    Previous Daily Pivot Point R1: 1283.81
    Previous Daily Pivot Point R2: 1285.06
    Previous Daily Pivot Point R3: 1287.26

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

EUR/USD looks weak below 1.1800

EUR/USD has slipped back under pressure, breaking through the 1.1800 support and drifting towards the weekly lows near 1.1770 ahead of the opening bell in Asia. The move reflects renewed strength in the US Dollar, with steady geopolitical tensions keeping its demand firm. Moving forward, the release of the German labour market report and flash inflation figures should keep European investors entertained on Friday.

GBP/USD threatens the 200-day SMA near 1.3440

GBP/USD rapidly leaves behind Wednesday’s strong advance, coming under heavy pressure and retesting the 1.3440 zone, where the critical 200-day SMA is located. Cable’s deep pullback follows the strong gains in the Greenback, while investors continue to pencil in a potential BoE rate cut in March.

Gold trims gains, slips back to around $5,170

Gold is now facing some downside pressure, hovering around the $5,170 region on Thursday. The yellow metal surrenders part of its earlier gains on the back of the resurgence of the buying interest in the Greenback. In the meantime, geopolitical tensions in the Middle East continue to limit the downside potential for now.