Home Gold Technical Analysis: Corrective rally set to gather steam
FXStreet News

Gold Technical Analysis: Corrective rally set to gather steam

  • Gold’s hourly chart shows a bull flag breakout – a bullish continuation pattern, which indicates the corrective rally from the  recent low of $1,237 is set to gather steam.  
  • The flag breakout has opened the doors to $1,282 (target as per the measured height method).  
  • The pattern also validates last Tuesday’s bullish outside day candle and bullish crossover between the 5-day moving average (MA) and 10-day MA.  

Hourly chart

Spot Rate: $1,258

Daily High: $1,258

Daily Low: $1,254

Trend: Bullish

Resistance

R1: $1,261 (July 4 high)

R2: $1,274 (23.6% of recent sell-off)

R3: $1,282 (May 21 low)

Support

S1: $1,254 (session low)

S2: $1,244 (June 28 low)

S3: $1,237 (July 3 low)

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.