Key Highlights
- Gold price settled nicely above the $1,750 resistance zone.
- A major resistance seems to be forming near the $1,800 zone on the 4-hours chart.
- EUR/USD is stable and well above 1.2000, GBP/USD is showing signs of more upsides above 1.3940.
- Crude oil price is holding gains above $60.00, but it is facing hurdles near $63.50.
Gold Price Technical Analysis
After forming a base above $1,700, gold price started a fresh increase against the US Dollar. The price broke the $1,750 resistance zone to move into a positive zone.
The 4-hours chart of XAU/USD indicates that the price gained pace above the $1,750 and $1,760 resistance levels. There was also a close above $1,750, the 100 simple moving average (red, 4-hours), and the 200 simple moving average (green, 4-hours).
On the upside, the bulls seem to be facing a strong resistance near the $1,800 level. A clear upside break above the $1,800 resistance zone could open the doors for a steady increase.
The next major resistance may possibly be near $1,840 and $1,850. Conversely, there might be a downside break below the $1,770 support zone.
The first major support is near the $1,760 level and 100 simple moving average (red, 4-hours). The next major support is near the $1,740 level and the 200 simple moving average (green, 4-hours), below which there is a risk of a drop towards $1,700.
Looking at EUR/USD, the pair is still holding gains above 1.2000. Besides, GBP/USD is likely to gain bullish momentum above the 1.3940 resistance.
Economic Releases to Watch Today
- ECB’s President Lagarde speech.
- Fed Interest Rate Decision – Forecast 0.25%, versus 0.25% previous.
