Gold Technical Analysis: recovery attempts likely to get sold into

Haresh Menghani FXStreet

• Reviving safe-haven demand, led by escalating US-China trade tension, eased the bearish pressure and helped bounce off YTD lows.
• The commodity remains well below short/medium/longer-term moving averages and hence, any meaningful recovery might be seen as an opportunity to initiate fresh bearish positions.
• A medium-term ascending trend-line, extending from Jan. 2017 lows through lows touched in July/Dec. 2017, might come into play amid bearish short-term technical indicators.

Gold daily chart

Spot Rate: $1279.73
Daily High: $1282.45
Daily Low: $1277.20
Trend: Bearish

Resistance
R1: $1282-83 zone (previous swing low and current day high)
R2: 1290 (horizontal level)
R3: $1296 (20-day SMA)

Support
S1: $1276 (YTD low set on Friday)
S2: $1268 (ascending trend-line)
S3: $1261 (Oct. 2017 swing low)

Author

Haresh Menghani

FXStreet

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

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