Gold Prices Fail To Mount Significant Rebound
- Gold Prices Decline to Intraday Support at $1,324.76
- Bearish Price Breakouts are Signaled for Gold under $1,322.04
- If you are looking for more commodity trading ideas? check out our Gold Trading Guide
Yesterday’s rebound in Gold prices appears short-lived, with prices again declining towards values of support. Currently the price of Gold is testing intraday support found at the S3 pivot at a price of $1,324.76. A move through this value would be significant, as it would open up the commodity to a bearish breakout below $1,322.04. Not only would this place Gold prices at session lows, but a further decline below $1,320.24 would place the price of Gold at new weekly lows.
If the short-term price action for Gold remains supported, it opens prices to bounce again towards values of resistance. Intraday range resistance, as denoted in the 2Hour graph above, is found at the R3 pivot at a price $1,330.22. So far, Gold has failed to break above this boundary in three previous attempts today. In the event that Gold prices do breach this value, bullish breakouts may be signaled above the R4 pivot at $1,322.94.
Gold Price 2 Hour & Pivot Range
(Created by Walker England)
Sentiment for Gold (Ticker: XAU/USD) currently has a SSI reading at +1.64. With 62% of traders positioned short, this typically gives Gold a bearish bias. In the event that Gold prices trade lower, it would be expected to see SSI move towards greater positive extremes. Alternatively, if prices rebound higher, traders should look for SSI to move back towards values that are more neutral.
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.