Gold slipped below 1780 last Friday. It has traded between 1783-1790 early in the Asian session, & the price broke the S-T resistance line(1) during the European session. Technical buying has pushed the price all the way to the day-high near 1795. With selling began in the US session, the price has dropped to day-low 1769 and the day ended at 1777.
Gold is still maintaining its trading within the uptrend channel(2) on the 1-hr chart. Approaching the bottom support of this channel, the price needs to move up in the next 48 hours in order for it to stay in it, where a new round of consolidation will begin if the price escapes the channel. The drop last Friday once again confirmed that the buying above 1790 is not strong enough to push the price higher, before the next major movement, likely range-bound between 1775-1790 for now.
The M-T structure has yet to alter while the trend is still dominating by the double bottom pattern on the daily chart (as mentioned before, we expect the double bottom pattern to be complete in 3-4 weeks after breaking the neckline), that the current drop so far can only be looked at as an S-T consolidation. A clear selling signal above 1783(5) has now been formed, however, the price has been standing above 1778(3) (closed at 1777.10 last Fri.) & also above the M-T support line(4); With the price currently trading near the 2 months high, the timing of the next movement depends on:
(1) If the price closes above 1783 in the next 24 hours, technically, the price will enter a range-bound of 1778-1790; if it closes further above 1790 in the next 48 hours, upward momentum will pick up again.
(2) If the price closes below 1783 in the next 24 hours, selling may resume and the price may dip below 1770 this time.
S-T resistances:
1793-95
1790
1783
Market price: 1781
S-T supports:
1780-78
1770
1765
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Gold is still maintaining its trading within the uptrend channel(2) on the 1-hr chart. Approaching the bottom support of this channel, the price needs to move up in the next 48 hours in order for it to stay in it, where a new round of consolidation will begin if the price escapes the channel. The drop last Friday once again confirmed that the buying above 1790 is not strong enough to push the price higher, before the next major movement, likely range-bound between 1775-1790 for now.
The M-T structure has yet to alter while the trend is still dominating by the double bottom pattern on the daily chart (as mentioned before, we expect the double bottom pattern to be complete in 3-4 weeks after breaking the neckline), that the current drop so far can only be looked at as an S-T consolidation. A clear selling signal above 1783(5) has now been formed, however, the price has been standing above 1778(3) (closed at 1777.10 last Fri.) & also above the M-T support line(4); With the price currently trading near the 2 months high, the timing of the next movement depends on:
(1) If the price closes above 1783 in the next 24 hours, technically, the price will enter a range-bound of 1778-1790; if it closes further above 1790 in the next 48 hours, upward momentum will pick up again.
(2) If the price closes below 1783 in the next 24 hours, selling may resume and the price may dip below 1770 this time.
S-T resistances:
1793-95
1790
1783
Market price: 1781
S-T supports:
1780-78
1770
1765
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Comment:
Gold steady ahead of the Fed. meeting, the price was traded between 1775-1783 in the majority of yesterday with the price closed slightly lower at 1776.
The gold price has finally escaped the uptrend channel(1), therefore the surge that originated from 1680 is now officially finished. Entering a period of range-bound, S-T 1770-1783, where the range may be widened to 1760-1790. All eyes on Fed. meeting later on today.
Selling pressure has been increasing, where the price has been rejected by 1783 in the past 2 days. In the next few trading days, as long as the price stays above 1760, the M-T double bottom structure will remain in effect. After breaking the 1760 neckline, reaching the 1840 target in 3-4 weeks leaves unchanged.
S-T Resistances:
1790
1780-83
1775
Market Price: 1771
S-T Supports:
1770
1765
1760
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Gold steady ahead of the Fed. meeting, the price was traded between 1775-1783 in the majority of yesterday with the price closed slightly lower at 1776.
The gold price has finally escaped the uptrend channel(1), therefore the surge that originated from 1680 is now officially finished. Entering a period of range-bound, S-T 1770-1783, where the range may be widened to 1760-1790. All eyes on Fed. meeting later on today.
Selling pressure has been increasing, where the price has been rejected by 1783 in the past 2 days. In the next few trading days, as long as the price stays above 1760, the M-T double bottom structure will remain in effect. After breaking the 1760 neckline, reaching the 1840 target in 3-4 weeks leaves unchanged.
S-T Resistances:
1790
1780-83
1775
Market Price: 1771
S-T Supports:
1770
1765
1760
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Comment:
Gold was under pressure after it has broken the support line(1) early in the Asian and European session yesterday. It was trading between 1765-75 most of the day until the US Fed. announcement, gold then hit the day high near 1783 with the market closed at 1780.
The US Fed. meeting bought some uplifting momentum to the gold market yesterday, but so far the buying is not strong enough to push the price above the previous high of 1796, the range 1760-90 is still good.
The buying support below 1775-78 has been strong on the daily chart, where the price touched multiple times below 1770 this week, and yet, each time it has been able to close back up on 1775. The buying momentum has picked up after yesterday, in order for the gold price to break the resistance between 1796-1800, it needs to ride this momentum in the next 48 hours; otherwise, if it stays below 1790 for a few more days, a consolidation toward 1760 or ever lower may occur.
S-T Resistances:
1793-95
1790
1783
Market Price: 1781
S-T Supports:
1780-78
1770
1765
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Gold was under pressure after it has broken the support line(1) early in the Asian and European session yesterday. It was trading between 1765-75 most of the day until the US Fed. announcement, gold then hit the day high near 1783 with the market closed at 1780.
The US Fed. meeting bought some uplifting momentum to the gold market yesterday, but so far the buying is not strong enough to push the price above the previous high of 1796, the range 1760-90 is still good.
The buying support below 1775-78 has been strong on the daily chart, where the price touched multiple times below 1770 this week, and yet, each time it has been able to close back up on 1775. The buying momentum has picked up after yesterday, in order for the gold price to break the resistance between 1796-1800, it needs to ride this momentum in the next 48 hours; otherwise, if it stays below 1790 for a few more days, a consolidation toward 1760 or ever lower may occur.
S-T Resistances:
1793-95
1790
1783
Market Price: 1781
S-T Supports:
1780-78
1770
1765
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Comment:
Gold edged lower yesterday. The price has climbed to the day-high 1790 early in the Asian session, but selling started thereafter. It dropped to a weekly low at 1756 at the US session and the gold market ended at 1772.
The S-T trend hasn't changed much, the price is still trading within the 1760-1790 range on the 1-hr chart. Key support is now 1755-60.
Gold was rejected by 1790 once again yesterday, so far the support is still strong below 1770 on the daily chart, but selling pressure is increasing. As mentioned yesterday, if the price fails to break the resistance at 1790 in the coming 24 hours, we can expect the market to trade in range-bound for at least another week. Key support is now at 1760-55, a new round of selling will be triggered if the gold price breaks this support.
S-T Resistances:
1780-83
1775
1770
Market price: 1768
S-T Supports:
1765
1760
1755
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Gold edged lower yesterday. The price has climbed to the day-high 1790 early in the Asian session, but selling started thereafter. It dropped to a weekly low at 1756 at the US session and the gold market ended at 1772.
The S-T trend hasn't changed much, the price is still trading within the 1760-1790 range on the 1-hr chart. Key support is now 1755-60.
Gold was rejected by 1790 once again yesterday, so far the support is still strong below 1770 on the daily chart, but selling pressure is increasing. As mentioned yesterday, if the price fails to break the resistance at 1790 in the coming 24 hours, we can expect the market to trade in range-bound for at least another week. Key support is now at 1760-55, a new round of selling will be triggered if the gold price breaks this support.
S-T Resistances:
1780-83
1775
1770
Market price: 1768
S-T Supports:
1765
1760
1755
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P. To
Gold held steady yesterday with a tight USD 15 range. It was traded between 1775-83 early in the Asian session, hit day-low 1769 during the US session, and closed @ 1780.
Gold price failed to cross the 1783 resistance yesterday. If the buying momentum can't pick up in the next 24 hours, gold will eventually escape the uptrend channel(1) in the 1-hr chart, officially entering a range-bound of 1770-83 awaiting for the next break.
Although the gold price went below 1770 for 2 consecutive days, the buying support seems strong below 1778(2) before each day's end. So far, the M-T double bottom structure remains unchanged, be patient for the next break where the upcoming Fed. meeting should be key.
S-T Resistances:
1793-95
1790
1783
Market price: 1781
S-T Supports:
1780-78
1770
1765
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