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Gold-trading

Technical Analysis: Bullish flag on weekly chart favors gold buyAlthough gold prices paid a little heed to the Brexit deal announcement and the US stimulus news, bullish flag formation on the weekly play as well as the metal’s sustained trading above 50-SMA keeps the buyers hopeful. That said, the latest consolidation of a bull-run from August 2018 needs to stay beyond the pattern support near $1738. Though, a pullback to the 50-SMA level of $1780 can entertain short-term sellers. Also acting as the strong support are upward sloping trend line from May 2019 and August 2018, respectively around $1620 and $1510. In a case where the bullion breaks the 28-month-old support line around $1510, bears might not hesitate to challenge the early 2019 peak surrounding $1346. On the contrary, fresh buying will wait for a clear break above the stated flag’s upper line, at $1925 now. Following that, November high near $1965 and the $2000 round-figure may offer an intermediate halt before challenging the 2020 landmark of $2075. It should, however, be noted that the uptrend past-$2075 will aim for the theoretical target of bullish flag confirmation, closer to $3000. Overall, the gold buyers have an upper hand while heading into 2021. However, expected receding of the coronavirus (COVID-19) fears and solutions of the major problems, namely Brexit, US stimulus, may offer initial pullback to the yellow metal.
OANDA:XAUUSDLong
by MTradingGlobal
Gold’s weekly outlook: May 13-17Gold continued to consolidate in $15 range but this time the expansion was on the upside unlike the previous weeks, finally closing with gains of $7. The uptrend was halted as the price action created a double top formation directly inverse to previous week’s double bottom formation which continue to suggest the trend still remains bearish in-spite of favorable fundamentals which failed to keep the price at higher levels. On the chart – Gold remained rangebound unable to break through the flag even after having a fairly good week after nearly a month. The closing still remains the key indicator of a bear market consolidation given the price action. We have 2 scenarios – 1. Bulls still remain on sidelines as they failed to build on the gains. 2. Gold closed below the support, till this is respected it can move towards $1284. If this is taken out it can fall to $1273. And if this is breached it can slide towards $1260. Bullish views remain dull unless gold breaks through the flag on upside. Bearish view – Bears were able to to bring the price down from highs comfortably with fundamentals mostly against them indicating the metal is having selling pressure at the highs. For bears to continue having the trend in their favor they need to stop the price from breaking out from the flag with next major support seen near $1236-$1240. On larger terms, Gold continues to remain bearish and prices are expected to head lower. Possible trades are on both sides, gold can be bought once it breaks out of the flag or at the bottom of the flag/channel. Gold can be sold under $1277 for the targets of $1273 and $1260 with a stop loss placed above $1289. Longer term target $1248. A sell-on-rallies can be useful under current scenario.
TVC:GOLDShort
by vanimator
Gold’s weekly outlook: May 06-10Gold continued to trade in the defined range similar to the previous week ending with cuts of more than $6. The week saw gold getting battered towards the low again as the Fed’s policy outcome was dovish for the dollar. The week again has important fundamental news majorly the U.S – China trade talks which is presumed to be at the last level of round of talks. Gold failed to create a new high even after having a positive opening rather it closed below the support again allowing the bearish trend to get stronger on every passing week. On the chart – Gold moved in a range showing indications of bear market consolidation as it was unable to breach highs or lows of previous week. The pattern breakdown was again retested and yet again confirmed solidifying the bearish trend. We have 2 scenarios – 1. Bulls continue to remain unwanted as the breakdown continues excepting scalp trading. 2. Gold closed below the support, till this is held it can move towards $1273. Once this is breached it can slide to $1260. If this fails to hold it can fall to $1248. Bullish bets remain unattractive as breakdown continues, they only come in contention once a breakout on upside happens. Bearish view – Bears resumed the attack after a week as they pushed the price back towards the low but failed to register a new one. The bearish bets saw a massive surge once the high of the previous week was respected and the price reversed. For bears, the technicals remain in their favor as the breakdown continues allowing room for further downside with the next crucial support area being $1236-$1240. On larger terms, Gold remains bearish and prices are expected to head lower. Possible trades are on both sides, gold can be bought once it breaks out of the flag or at the bottom of the flag/channel. Gold can be sold under $1278 for the targets of $1273 and $1260 with a stop loss placed above $1289. Longer term target $1248. A sell-on-rallies can be useful under current scenario.
TVC:GOLDShort
by vanimator
Gold’s weekly outlook: April 29 – May 03Gold made a new low before settling near the highs for the week. Again it was a $20-$22 ranged week where gold posted gains of $13 which can be considered as a retracement from the lows as prevailing situations did not alter much to enable a shift in the trend. The week has important fundamental events with the spotlight on Fed’s interest rate decision which will generate lot of volatility with large moves expected on either side. Still the trend remains in the favor of bears till a breakout happens on the upside. On the chart – Gold made lower highs and lower lows formation again indicating the strength on the upside might be limited. The pattern breakdown continues to play as it was retested again in the last week and got respected. We have 2 scenarios – 1. Bulls remain sidelined as they failed to breakout excepting scalp trades though the closing can be eyed upon as a first mark towards bullishness. 2. Gold closed below the support, till this is respected it can move towards $1284. If this is taken out it can fall to $1273. And if this is breached it can slide towards $1260. Bullish view – Bulls can have some cheer as they finally had a good week and the closing was on their favor though lot has to be done to get the trend back to bull. Breakout is required for bulls to over power bears again. Bearish view – Bears can also have some cheer as they created a new low but failed to hang on to it. The formation of lower highs and lower lows continue to aid the bears to keep the trend intact. The pattern breakdown continues and new lows can be expected till it is respected with next major support area being $1236-$1240. On larger terms, Gold remains bearish and prices are expected to head lower. Possible trades are on both sides, gold can be bought once it breaks out of the flag or at the bottom of the flag/channel. Gold can be sold under $1284 for the targets of $1273 and $1260 with a stop loss placed above $1296. A sell-on-rallies can be useful under current scenario.
TVC:GOLDShort
by vanimator
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