News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/Q3Yfe6TMLw
  • The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It is also referred to as the monthly market mover. Find out why it has been given this nickname here: https://t.co/yOUVEEqhc5 https://t.co/6inC94w5K4
  • All eyes on the Fed on Wednesday as investors weigh on chances of a taper announcement. Get your weekly equities forecast from @HathornSabin here: https://t.co/Cv06XcvldF https://t.co/I12g2YPkdE
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here: https://t.co/QszmdZFxlk https://t.co/KsPiWBysiR
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/iUvhLfQgcK
  • The US Dollar caught a bid in the late part of last week to set a fresh September high. FOMC is around the corner, are bulls going to be able to push for another fresh high? Get your weekly US Dollar forecast from @JStanleyFX here: https://t.co/ZkDHyV1VhM https://t.co/w5sPChKdNx
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sIHrP https://t.co/bde30KM8OE
  • The Australian Dollar remains vulnerable to most of its major counterparts, with AUD/USD and AUD/JPY resuming losses. Did AUD/NZD bottom? AUD/CAD may consolidate. Get your weekly Australian Dollar forecast from @ddubrovskyFX here: https://t.co/sjh91mjtXs https://t.co/dGT067zKnH
  • Technical analysis of charts aims to identify patterns and market trends by utilizing differing forms of technical chart types and other chart functions. Learn about the top three technical analysis tools here: https://t.co/KDjIjLdTSk https://t.co/VLZQhrQTAf
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Learn about the importance of the ISM manufacturing index here: https://t.co/Xr3xtoFpZy https://t.co/j5xDAG6LLb
Gold Price Forecast: XAU/USD Runs into Resistance, Will it Reverse Lower?

Gold Price Forecast: XAU/USD Runs into Resistance, Will it Reverse Lower?

Peter Hanks, Strategist

Gold Price Outlook:

Advertisement

Gold Price Forecast: XAU/USD Runs into Resistance, Will it Reverse Lower?

Gold volatility has been elevated in February with the precious metal bouncing between technical levels in quick succession. While losses suffered earlier in the month have largely been reclaimed, XAU/USD remains near the midpoint of the descending channel it has etched out since August. Despite the recent recovery, the yellow metal has encountered resistance overhead and appears vulnerable to a reversal lower.

Gold (XAU/USD) Price Chart: Daily Time Frame (March 2020 - February 2021)

gold daily price chart forecast

While the fundamental argument for gold – one that was vital to the metal’s climb from March to August – remains intact, the gradual decline in price is undeniable. As a result, longer-term price trends have since become negative, evidenced by a “death cross” formation on the daily chart in early January 2021 and a break beneath the 200 exponential moving average. As it stands, XAU/USD trades beneath all three of these longer-term averages and there is little to suggest gold will suddenly reverse higher and snap the downtrend.

Gold (XAU/USD) Price Chart: 4 – Hour Time Frame (August 2020 - February 2021)

gold price chart

How to Trade Gold: Top Gold Trading Strategies and Tips

Resistance is also evident on the 4-hour chart as gold negotiates the $1850 area which has proved influential in the past. The area also coincides with the 200EMA. A potential MACD crossover above the 0 level and beneath the 200EMA might hint gold could reverse lower in the coming days. That said, a bullish continuation is also possible and subsequent resistance might lie at the Fibonacci levels near $1883 and $1920.

US Equity Outlook and MACD Trading Strategy Walkthrough Video

Still, gold seems susceptible to a gradual continuation lower. With that in mind, areas of interest in the event of a reversal lower might reside near the $1800 mark and slightly beneath at the 2021 swing low near $1784. Follow @PeterHanksFX on Twitter for updates and analysis.

--Written by Peter Hanks, Strategist for DailyFX.com

Contact and follow Peter on Twitter @PeterHanksFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES