Daily Price Outlook
- Gold is trading around the $1943 level after bouncing off support at $1939. It attempted to break above $1948 but is currently consolidating, with a bearish sentiment indicated by the RSI and MACD indicators.
- A break below $1939 could lead gold to target $1932 and continue the downward trend towards $1923 and $1990.
- Surpassing $1948 may push gold towards the next targets at $1955 or $1958. Monitoring the price action around $1948 is crucial for determining the potential continuation of the downward trend.
On Thursday, the price of gold is trading in a range around the $1943 level after bouncing off the support level at $1939. It made an attempt to break above $1948 but failed to sustain above this level and is currently consolidating.
The overall trading sentiment for gold appears to be bearish as indicated by the relative strength index (RSI) and moving average convergence divergence (MACD) indicators.
The RSI has a value of 38, suggesting selling pressure, while the MACD is holding around -3. Additionally, the 50-day exponential moving average is acting as resistance around the $1950 level, indicating a stronger bearish sentiment.
If gold breaks below the $1939 level, it could potentially reach the target of $1932 and continue its downward trend towards $1923 and $1990. On the other hand, if gold surpasses the $1948 level, the next target could be around $1955 or $1958.
Therefore, it is important to monitor the price action around the $1948 level as a break below this level may signal a continuation of the downward trend in the price of gold.
GOLD Price Chart – Source: Tradingview
Gold (XAU/USD) Trade Idea
Entry Price – Sell Above 1948
Stop Loss – 1958
Take Profit – 1931
Risk to Reward – 1: 1.6
Profit & Loss Per Standard Lot = +$1640/ -$1026
Profit & Loss Per Micro Lot = +$164/ -$102
Please click here to read and acknowledge our Trade Ideas Disclaimer before using these ideas in your strategies and trading. This document’s information, including forex signals and research, is for general informational and educational purposes only and does not provide specific financial, investment, or trading advice.
JOIN LONGHORNFX TODAY
24/7 live support, lightning fast withdrawals, guaranteed safe and reliable trading platforms with a true ECN broker.