FOREXCOM:XAUUSD continues to consolidate in the range of 2035-2020. It is likely that tomorrow's news may revitalize the market.
Today the market continues to stand still, this can be seen in both the dollar and gold. Consolidation continues as the market is still uncertain with the future outlook, this could continue until tomorrow as tomorrow's news is Initial Jobless Claims, GDP, and the strength of these factors could determine the medium term outlook. Technically, GOLD is still in consolidation, but within a downtrend. For now, we continue to emphasize the in-range trading strategy (buy and sell from consolidation boundaries or strong levels). Let me remind you that the global trend is neutral and this is an ideal nuance for intra-range trading. And the local downtrend indicates the approximate market mood.
Resistance levels: 2035, 2038, 2039.4 Support levels: 2025, 2020, 2018
A false break of support defines a local target in the form of resistance. A test of range resistance can form a sell signal. As long as the price does not break the trend or the range boundary, trading within this framework will continue
False resistance breakdown Trading using an intra-range trading strategy. Result: +225 pips
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Gold is breaking down through the 2025-2020 area. But it can still come back, as the price is within the range and there is no indication that gold may leave the downward channel boundaries in the near future.
The indicated levels: 2009, 2004 and the downside boundary may affect the price and form a bounce reaction or a false breakout before a correction.
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Gold may test the lower trendline before rebounding on the back of impending news
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Overall, today's news is strong for the dollar. It may strengthen the pair.
@princesaif85, Yeah, something interesting in the market. It's been a long time since it happened))) By the way, gold can bounce both from 2004 and 1994. But globally, the zones of interest are located at 1978, 1960, 1946 and 1925. It is still hard to say whether the price will go down. But the rising support (blue) is still confusing on the chart. The price may also bounce from it (2008-2010 area).
princesaif85
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@RLinda, tomorrow some sort of picture decide after GDP.my level 1975 ... second 1956... these are buying zones..be ready....
princesaif85
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@princesaif85, market closed today below 2020 then confirm...
RLinda
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@princesaif85, We'll try to look at GDP forecasts tomorrow before analyzing the markets