Type : Bullish Momentum
Resistance : 51788
Pivot: 51240
Support : 51035
Preferred Case: On the H1, price has broken through the descending channel and is moving along the ascending trendline. Also, price is moving above the ichimoku indicator which supports our bullish bias that price will rise from our pivot at 51240 in line with the overlap resistance, 38.2% fibonacci retracement and 61.8% fibonacci projection to the 1st resistance at 51788 in line with swing high resistance and 100% fibonacci projection.
Alternative scenario: Alternatively, price may break through pivot structure and drop to the 1st support at 51035 where the overlap support and 78.6% fibonnaci projection.
Fundamentals: The inflation hedge benefitted from the highest inflation seen in the US in 40 years. The rate of increase in the fed funds rate would be key to further gains in the precious metal. A hike lower than 75bps would allow gold to build on recent gains. This gives us a mixed to weak bullish view on gold.
Resistance : 51788
Pivot: 51240
Support : 51035
Preferred Case: On the H1, price has broken through the descending channel and is moving along the ascending trendline. Also, price is moving above the ichimoku indicator which supports our bullish bias that price will rise from our pivot at 51240 in line with the overlap resistance, 38.2% fibonacci retracement and 61.8% fibonacci projection to the 1st resistance at 51788 in line with swing high resistance and 100% fibonacci projection.
Alternative scenario: Alternatively, price may break through pivot structure and drop to the 1st support at 51035 where the overlap support and 78.6% fibonnaci projection.
Fundamentals: The inflation hedge benefitted from the highest inflation seen in the US in 40 years. The rate of increase in the fed funds rate would be key to further gains in the precious metal. A hike lower than 75bps would allow gold to build on recent gains. This gives us a mixed to weak bullish view on gold.