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  • Gold continued with its struggle to find acceptance above 200-hour SMA and has now retreated to the lower end of its daily trading range, below $1420 level.
  • The mentioned region coincides with 23.6% Fibo. level of the $1320-$1452 recent up-move and should now act as a key pivotal point for short-term traders.

Meanwhile, technical indicators on hourly charts have failed to regain positive traction and have been losing positive momentum on the daily chart, suggesting lack of any fresh buying interest and a possible extension of the recent corrective slide from multi-year tops.

Sustained weakness below the $1413-12 region will reinforce the bearish bias and accelerate the slide further towards challenging the key $1400 psychological mark (nearing 38.2% Fibo. level) en-route 50% Fibo. level support near the $1385-83 region.

On the flip side, the $1425 area now seems to have emerged as an immediate resistance and is closely followed by the $1430 horizontal zone and last week’s swing high – around the $1434 region, which should act as a key trigger for short-term bullish traders.

Gold 1-hourly chart