Gold Technical Analysis: Rejected at 4H 200MA, hourly RSI diverges in favor of bears

Omkar Godbole FXStreet Contributor

Gold jumped to 4-hour 200-candle moving average (MA) of $1,311 earlier today, as expected, but failed to take out the key hurdle and is currently trading at $1,308.

The hourly chart relative strength index (RSI) has rolled over from the overbought territory, creating lower highs in favor of the bears.

Meanwhile, rejection at the 200-candle MA has strengthened the bearish case put forward by the negative crossover of the 100- and 200-candle MAs on the 4H.

The yellow metal, therefore, could see a minor pullback to $1,303-$1,300 levels. A break above the 4H 200-candle MA of $1,311 is needed to revive the bullish view.

4-hour chart

Hourly chart

Trend: Pullback likely

1. R3 1326.55
2. R2 1319.67
3. R1 1314.4
PP 1307.52
1. S1 1302.25
2. S2 1295.37
3. S3 1290.1

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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