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.

Free Trading Guides
EUR/USD
Bullish
GBP/USD
Mixed
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
USD/JPY
Mixed
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
Gold
Mixed
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
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • The $USD appears to be stalling against the Singapore Dollar, Malaysian Ringgit, Indonesian Rupiah and Philippine Peso, but technical analysis may still favor USD strength. Get your market update from @ddubrovskyFX here:https://t.co/AZp98MoXKo https://t.co/J6TEprmLj0
  • ASX 200 May Fall on US-China Trade Impasse, UK Vote - https://www.dailyfx.com/forex/technical/home/analysis/aus200/2019/12/10/ASX-200-May-Fall-on-US-China-Trade-Impasse-UK-Vote.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #ASX200 #tradewar #UKelection2019 https://t.co/nD02fnD9MA
  • So far this month, #USD has been underperforming against its #G10 counterparts. #NZD has been the best with +2.18% spot returns while #CAD has been the weakest with +0.37% [delayed]
  • Have you joined @DailyFX @facebook group yet? Discuss your #forex strategies and brush up on your skills with us here: https://t.co/jtY1G7g8yx https://t.co/tGyyP7sodd
  • 🇯🇵 JPY Machine Tool Orders (YoY) (NOV P), Actual: -37.9% Expected: N/A Previous: -37.4% https://www.dailyfx.com/economic-calendar#2019-12-10
  • Heads Up:🇯🇵 JPY Machine Tool Orders (YoY) (NOV P) due at 06:00 GMT (15min), Actual: N/A Expected: N/A Previous: -37.4% https://www.dailyfx.com/economic-calendar#2019-12-10
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 98.02%, while traders in US 500 are at opposite extremes with 77.49%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/IRpxI7f6JP
  • RT @FirstSquawk: SCMP SOURCES https://t.co/eC9m4aMlQx
  • The Indian Rupee soared after the Reserve Bank of India surprised with a rate hold. $USDINR may climb as support reinstates the uptrend ahead of Indian CPI and global trade tensions. Get your market update from @ddubrovskyFX here:https://t.co/QEOabsDfMn https://t.co/fTIJGcl8iv
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.18% 🇨🇦CAD: 0.07% 🇬🇧GBP: 0.04% 🇪🇺EUR: 0.03% 🇨🇭CHF: 0.01% 🇯🇵JPY: -0.06% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/Ru2bksmfWn
XAU/USD Technical Outlook: Gold Prices Search for Support

XAU/USD Technical Outlook: Gold Prices Search for Support

2018-06-20 19:30:00
Michael Boutros, Technical Strategist
Share:

Gold prices broke below the June opening range last week with the decline now eyeing support targets into fresh 2018 lows. Here are the levels that matter for XAU/USD heading into the close of the week.Review this week’s Strategy Webinar for an in-depth breakdown of this setup and more.

Gold Daily Price Chart (XAU/USD)

Gold Daily Price Chart

Technical Outlook: In last week’s XAU/USD Technical Outlook, we noted that gold prices had stalled at, “1309 before turning just ahead of slope resistance. The 200-day moving average converges on former swing highs / lows at 1307 and a daily close above this level is needed to keep the focus higher.” Gold closed back below the yearly open at 1302 with prices plummeting nearly 2% the following day.

The decline validates a clear break of the monthly opening range keeps the focus on a late-month low in price. Subsequent support objectives are eyed at the 61.8% retracement of the July advance at 1266 backed by the median-line of the descending pitchfork formation (currently ~1256), 1251 and the 50% retracement of the broader 2016 advance at 1244.

New to Forex Trading? Get started with this Free Beginners Guide

Gold 240min Price Chart (XAU/USD)

Gold Price Chart 240min

Notes: A closer look at price action highlights a price reversal off the upper 50-line early in the week with the decline approaching initial targets here at 1266. Note that this level also represents the measured target of the consolidation range break we’ve been tracking since last week. Look for interim resistance at the weekly open at 1279 with the risk lower sub-1285.

It’s worth noting that gold prices are working on a fourth day of consecutive losses- the last time we saw more than four was back September/October of 2016. In that instance, prices were in free-fall with gold dropping nearly 14% over the next three months. Implications suggest the risk for some recovery into the close of the week before resumption.

Why does the average trader lose? Avoid these Mistakes in your trading

Bottom line: The immediate focus is lower while below the weekly open but be on the lookout for a recovery heading into the lower support targets over the next few days. Ultimately a larger rebound would offer more favorable short-entries while within this formation. A breach above the weekly open would put us neutral, with a rally surpassing 1285 risking a move back up towards the upper parallel / 1298-1302.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

Spot Gold IG Client Positioning

Gold Trader Sentiment
  • A summary of IG Client Sentiment shows traders are net-long Gold- the ratio stands at +5.57 (84.8% of traders are long) –bearishreading
  • Long positions are3.9% higher than yesterday and 4.3% higher from last week
  • Short positions are 5.1% higher than yesterday and 22.6% lower from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests Spot Gold prices may continue to fall. However, traders are less net-long than yesterday but more net-long from last week andthe combination of current positioning and recent changes gives us a further mixed Spot Gold trading bias from a sentiment standpoint.

See how shifts in Gold retail positioning are impacting trend- Learn more about sentiment!

---

Economic Calendar - latest economic developments and upcoming event risk

Other Setups in Play

- Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex or contact him at mboutros@dailyfx.com

https://www.dailyfx.com/free_guide-new-to-fx.html?ref-author=Boutros

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

DISCLOSURES

News & Analysis at your fingertips.