Gold stays defensive around $1,940 as bulls seek confirmation of
Gold price has taken out all major Daily Moving Averages (DMA) to reach three-week highs, justifying the bullish turn in the 14-day Relative Strength Index (RSI) indicator on the daily chart.
Daily closing above the critical 50 DMA at $1,930 on Tuesday has reopened doors toward the August 7 high of $1,947, above which the $1,950 psychological level will be tested.
Acceptance above the latter is crucial to unleashing the additional upside toward the downward-sloping 100 DMA at $1,956.
On the downside, the immediate cushion aligns at the 50 DMA resistance-turned-support of $1,930, a break below which Gold sellers will target the powerful support around the $1,913 level. That level is the confluence of the 21 and 200 DMAs.
This week’s low of $1,904 will be next on Gold sellers’ radars should the downside momentum gather steam.
PLAN 1: SELL XAUUSD 1936 - 1940
Stop Loss : 1943
Take Profit 1 : 1930
Take Profit 2 : 1925
Take Profit 3 : 1920
PLAN 2: SELL XAUUSD 1945 - 1948
Stop Loss : 1952
Take Profit 1 : 1940
Take Profit 2 : 1935
Take Profit 3 : 1930
Daily closing above the critical 50 DMA at $1,930 on Tuesday has reopened doors toward the August 7 high of $1,947, above which the $1,950 psychological level will be tested.
Acceptance above the latter is crucial to unleashing the additional upside toward the downward-sloping 100 DMA at $1,956.
On the downside, the immediate cushion aligns at the 50 DMA resistance-turned-support of $1,930, a break below which Gold sellers will target the powerful support around the $1,913 level. That level is the confluence of the 21 and 200 DMAs.
This week’s low of $1,904 will be next on Gold sellers’ radars should the downside momentum gather steam.
PLAN 1: SELL XAUUSD 1936 - 1940
Stop Loss : 1943
Take Profit 1 : 1930
Take Profit 2 : 1925
Take Profit 3 : 1920
PLAN 2: SELL XAUUSD 1945 - 1948
Stop Loss : 1952
Take Profit 1 : 1940
Take Profit 2 : 1935
Take Profit 3 : 1930
Comment:
The market is showing signs of slowing down.
Trade closed: target reached:
The school has no point to reverse
