- Gold trades over 1% higher on Tuesday as safe-have demand grows.
- The price has stopped close to the 61.8% Fib retracement zone.
XAU/USD 1-hour chart
Gold has had a pretty good session on Tuesday rising over 1% building on Monday’s advances. The price has now hit a resistance level at USD 1720 per troy ounce. This level is very close to the 61.8% Fibonacci retracement level and this could make the level stronger.
The market is also struggling at the 200 Simple Moving Average (SMA). If the price does move lower from here then this could be considered a rejection. The USD 1700 psychological level has been a strong pivot zone and the market could find some support there.
The indicators are pretty mixed at the moment as the MACD histogram is in the green but the signal lines are crossing over to the downside. The Relative Strength Index has also pulled away from overbought level and could retrace further.
The trend on the higher timeframes is firmly up so there is still a good chance that this move is a correction from the higher timeframes and a break of the black trendline at the top of the chart could mean the trend is continuing.
-637273310275433580.png)
Additional levels
Share
