Key Highlights
- Gold is attempting a fresh increase from the $2,292 support zone.
- A major bearish trend line is forming with resistance at $2,355 on the 4-hour chart.
- EUR/USD could gain bullish momentum if it clears the 1.0780 resistance.
- Oil prices might continue to move up toward the $85.00 resistance.
Gold Price Technical Analysis
Gold prices remained well-bid above the $2,292 zone against the US Dollar. The bulls took control and were able to push the price above the $2,310 and $2,315 levels.
The 4-hour chart of XAU/USD indicates that the price climbed above the $2,325 resistance and the 100 Simple Moving Average (red, 4 hours). It even spiked above the 50% Fib retracement level of the downward move from the $2,368 swing high to the $2,293 low.
However, the bulls seem to be facing many hurdles. Immediate resistance is near the $2,340 level. The first major resistance is near the $2,345 level and the 200 Simple Moving Average (green, 4 hours).
The main resistance sits at $2,355 and the 76.4% Fib retracement level of the downward move from the $2,368 swing high to the $2,293 low. There is also a major bearish trend line forming with resistance at $2,355 on the same chart.
A clear move above the trend line resistance could open the doors for a steady increase. The next major resistance is now near $2,368, above which the price could accelerate higher toward the $2,380 level. Any more gains might send Gold toward the $2,388 resistance.
On the downside, there is a key support forming near the $2,310 level. A downside break below the $2,310 support might call for more downsides. The next major support is near the $2,292 level. Any more losses might send Gold prices toward $2,265.
Looking at Oil, the bulls were able to push the price above the $82.00 resistance and they could aim for more upsides.
Economic Releases to Watch Today
- Federal Reserve Chair Jerome Powell’s speech.
- ECB’s President Lagarde speech.
