XM does not provide services to residents of the United States of America.

Technical Analysis – Gold flirts with mid-level of Bollinger band

  • Gold fluctuates within 2,405-2,435

  • Oscillators continue to hold in positive territories

Gold prices are retreating somewhat near the mid-level of the Bollinger band, moving horizontally within the 2,405-2,435 region in the 4-hour chart. However, the commodity is still developing above the short-term uptrend line, failing to post a notable downside correction.

Technically, the MACD is travelling beneath its trigger line above the zero level, while the RSI is pointing marginally north near the neutral threshold of 50.

If buyers stay in play, the door will open again for the 2,435 resistance level. Running higher, the price will have to face the record high of 2,450 before meeting the round number of 2,500.

Should the bears press the price below 2,405, it may prevent a downfall towards the uptrend line and the 50-day SMA, which overlaps with the lower Bollinger band at 2,384. If the latter gives way too, the decline could continue towards the 2,370 barricade.

In a nutshell, gold is still bullish in the short- and long-term timeframes despite the latest dive from the all-time high.

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.