Gold pulled back from the early climb yesterday. The market opened around 1750. The price surged to the day-high near 1760 at the European session and it had started to drop thereafter. The market ended at 1750, with a day-low touched 1744.
Although the price broke out from the 1756 resistance in the early session, the buying momentum has failed to follow through. Once it has sunk below 1756(1) again, the double bottom pattern that was formed earlier has been destroyed, and S-T selling orders have been triggered. The gold price is still running within the M-T downtrend channel(2) on the 1-hour chart. A new S-T uptrend channel(4) has been formed in the last 24 hours, wait for the break out of the S-T pattern.
The gold price needs to break the resistance line(5) to escape from the M-T downtrend. The price has been trading within a tight range around 1750 without a clear direction at the moment. Wait for the breakout, pay close attention to the closing price in the next 2 trading days. The bear will begin to dominate the market if the market closes below 1750; on the other hand, if the price closes above 1753 on the daily chart, the bull orders are moving in.
S-T Resistances:
1765
1760
1755
Market price: 1751
S-T Supports:
1750
1745
1740
If you like our work, please give our team a thumbs up. Feel free to leave a comment, let us know what you think!
P. To
Although the price broke out from the 1756 resistance in the early session, the buying momentum has failed to follow through. Once it has sunk below 1756(1) again, the double bottom pattern that was formed earlier has been destroyed, and S-T selling orders have been triggered. The gold price is still running within the M-T downtrend channel(2) on the 1-hour chart. A new S-T uptrend channel(4) has been formed in the last 24 hours, wait for the break out of the S-T pattern.
The gold price needs to break the resistance line(5) to escape from the M-T downtrend. The price has been trading within a tight range around 1750 without a clear direction at the moment. Wait for the breakout, pay close attention to the closing price in the next 2 trading days. The bear will begin to dominate the market if the market closes below 1750; on the other hand, if the price closes above 1753 on the daily chart, the bull orders are moving in.
S-T Resistances:
1765
1760
1755
Market price: 1751
S-T Supports:
1750
1745
1740
If you like our work, please give our team a thumbs up. Feel free to leave a comment, let us know what you think!
P. To
P. To
